Hey hey: what's up my friends, so in today's episode right we'll be discussing this right. When should you not buy into support right? Here's the thing right when, when traders trade the markets, you know they look for support resistance. Oh right! Now, it's time to buy it! Support, oh it's time to sell at resistance. I get it right, support and resistance.

They are areas of value on your chart, but at the same time there are times right plenty full of times right when you shouldn't be buying into support, because that is a low probability trade. So what are these scenarios right? That you should avoid buying into support? So, let's break them down scenario number one: when you notice a series of lower highs into support, that's a kind of like a reflect, a signal to you that you want to hold up right and stop buying into support. Why is that? And the reason is simple: when you notice a series of lower highs, otherwise known as a descending triangle, it's telling you that the sellers are, they are in control. They are able right to push the price consistently lower, lower and lower, whereas the buyers they feel you know very depressed right now.

They can't seem to push the price up higher because if you think about this right, when a descending triangle is formed, when a lower highs is formed, the buyers have difficulty breaking above the previous swing high. That's why you get a series of lower high lower high lower high? It tells you that the buyers are, they are being pushed to a corner and the sellers they are in charge. You know taking charge so when you see a series of lower highs into support, that is a sign of weakness and you want to, you know, think twice right about buying into support. Okay, because, if you ask me right more than likely more than 50 of the time right, the price is likely to break down below support number two: when should you not buy into support right number scenario? Number two is when the higher time frame is in a downtrend, so let's say, for example, previous episode.

We talked about multiple timeframe cheat sheets, so let's say you are entering on the the daily time frame right. You want to buy it support, but on the weekly time frame that market is in a downtrend. So i would say that it's not that you can't buy support right, but bear in mind that you are trading against the higher time frame trend and the higher time frame trend right. They carry more weight compared to a lower time frame trend right because those trend they last longer.

So, if you ask me if you want to buy into support right, which is against a higher time frame downtrend, you want to bear in mind that that area of support is likely to break and the longer term downtrend is likely to continue. Of course it's not always right, but more than 50 of the time i would say again the higher timeframe trend right will carry more weight and that trend is likely to resume compared to a lower timeframe trend that reverse right. The higher timeframe trend does it make sense? Okay, so bear in mind right where you are in the grand scheme of things right when you are looking to buy into support right, look at the higher time frame trend. Are you trading in the direction of it or against it as much as possible? You want to be trading in the direction of the higher time frame.

Trend. Number three scenario: number: three right: you don't want to be buying into support right when the price has tested support too many times within a short period of time. Why is that? And the reason is simple: when the more the more times right, the price test, support within a short period of time, the weaker it becomes it's kind of like a variation of the descending triangle. Example i shared earlier, but this one is slightly different.

So i want you to think of this, like you know this way right. Imagine that there's a wooden door in front of you and in your hands right, there's a iron sledge hammer! Now you take that hammer and you smash the dog many times right within one minute. Let me ask you: what's gon na happen, i'm guessing that that wooden door is gon na break it's gon na collapse and it's the same thing as you know: support right, being tested multiple times many times within a short period of time, because the more times that Is being tested right, the weaker it becomes because the orders right the buy orders right at support right, gets, sucked up, gets used up and when there's no more buying orders left right, meaning there's no one left to buy. What's going to happen, chances are support, will break so pay attention as well right when support is being tested way too many times, especially within a short period of time, because chances are again, support will break and, finally right.

The fourth scenario is you know: when shouldn't you buy into support, is when your risk to reward doesn't make sense. So i get it you want to. You want to buy and support. You want to sell that resistance, but you want to measure right.

How much are you risking right to your potential profit? So let's say you buy a support. Okay, the market rallies higher above support. You get an entry trigger to go long and you decide that hey. Your stop-loss is about 200 pips, for example.

Then you look at your chart and you realize shortly after you buy support right. It is the price the market is coming into resistance and there's about, let's say 100 pips away. So if you look at the math right, you are risking 200 pips and shortly after 100 pips the price will come into resistance and at that point, right, there's a good chance that the market could reverse from there. So let's say you set your target profit just before resistance about 100 pips, so you're risking 200 pips to make 100 pips so from a risk to reward standpoint.

Is it justified? Of course this is something that depends from trader to traders. Some of them, you know, are comfortable, you know risking a dollar to make 50 cents, but for me personally, not quite my style. So when you trade support, when you buy support, you want to ask yourself right: it's the risk to reward justified right. How much are you risking against? How much can you potentially make right, or rather how much uh, or rather, how far away is your target profit right before the first so-called obstacle comes in your way? Okay, so this is something again for you to consider.

So with that said right, let's do a quick recap right to when you shouldn't buy into support number one right. When you see a series of lower highs into support number two, when the higher time frame is in the downtrend number three, when support is tested too many times within a short period of time and number four, when your risk to reward isn't justified. Okay, so with that said, i wish you good luck and good trading. I will talk to you soon.

You.