In Forex trading, there are several key price levels to watch for support and resistance, including:
Round numbers: These are psychological price levels, such as 1.0000 or 1.5000, that tend to attract a lot of attention from traders.
Pivot points: These are calculated based on the previous day's high, low, and close prices, and can indicate potential levels of support and resistance.
Fibonacci retracements: As discussed earlier, these levels can indicate potential levels of support and resistance based on the Fibonacci sequence.
Moving averages: These can act as dynamic levels of support and resistance, particularly if a particular moving average (such as the 200-day moving average) is widely followed by traders.
Trendlines: These can be drawn on a chart to indicate the direction of the current trend and potential levels of support and resistance.
Previous highs and lows: These are often watched as potential levels of support and resistance, particularly if they were strong levels in the past.
Bollinger Bands: These can act as dynamic levels of support and resistance, particularly if the price approaches the upper or lower bands.
It's important to note that these levels should be used in conjunction with other indicators and analysis techniques to confirm potential support and resistance levels and make informed trading decisions.
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