Hello wonderful people, how are you today? I hope you're having a fantastic week. I'm ecstatic to be a part of this unforgettable lecture. In this article, I'll share my experience with Trading with Strong, Weak, and Gap Levels Instructed by @allbert
# Explain the Difference Between Weak and Strong Levels
### Strong Levels:
Market prices that have lately produced a trend flip are considered strong support and resistance zones. The area in which the inversion occurred is a significant resistance level is if the value was moving high and then turned into a decline. A solid support level exists where a downturn stops and an upswing begins.
Whenever the price returns to a strong supporting or resistance level, it generally finds it difficult to pass through and proceed in the opposite trend. If the price goes down to a solid support area, it will frequently rebound back up. The price may ultimately burst it through, but it usually does so after returning from the area several times.
### Weak levels:
Little levels of support and resistance aren't holding up. If the value is moving lower, for instance, it will make a low, rebound, and then begin to decline immediately. Because the value stalled and bounced off that level, it may be considered a small support zone.
If the price falls underneath the minor support level, the downturn will remain intact. However, if the value pauses and rebounds at or around the previous low, a range may be forming. We get a higher low if the price pauses and rebounds above the preceding low, which indicates a probable trend shift.
# Explain What a Gap is
Massive swings in equity value can reward investors in highly competitive markets if they're being converted into possibilities. Gaps are regions on a graph where a currency's (or another financial instrument's) price swings rapidly down or up with no activity somewhere between. As just a response, there is a gap in the typical price patterns on the entity's graph. These gaps can be interpreted and exploited for profit by the intelligent dealer.
- Gaps appear on a chart whenever the value of a capital asset moves dramatically with no activity somewhere between.
- Gaps appear suddenly as the investment's relative price shifts owing to fundamental and tactical causes.
# Explain the Types of Gap
Depending on that when they appear in a pricing pattern and also what they imply, gaps are characterized as breakaway, exhaustion, or runaway.
### Breakaway Gap.
In analysis, a breakaway gap is a phrase that describes a significant value swing across support or resistance. A gap is a value differential between open and previous closing prices when no trade thing happens. A gap separates the price from the support or resistance, as compared to an immediate breakthrough. When the price goes out of a trading session or after a trend reversal, breakaway gaps are common initially in a movement.
### Runaway Gap.
A runaway gap appears on charts whenever trade passes successive price levels, generally due to high investor confidence. Or another term, there's no trade between both the price points when the runaway gap started and concluded, which is described as a swap of possession in an asset.
### Exhaustion gap.
An exhaustion gap is a technical indicator that happens after a fast climb in a company's equity over many periods and is characterized by a break downward in pricing (typically on a chart). This indication denotes a dramatic change in purchasing to sell action, which generally corresponds to a currency's decline. The indication suggests that a rising trend is likely to come to an end.
# Through a Demo account, perform the (buy/sell) through Strong Supports and resistances. Explain the procedure (Required Screenshots).
### buy through strong support and selling through strong resistance.
first, we identify strong supports and resistance of selected coin and we identify those support and resistance which you can see below. we will buy at support and we will use the DCA strategy if it goes further down so we will buy and our buy point will be less than the previous one and we will identify its major resistance.
SO I have selected the LINABTC pair and marked its manor support and resistance which become its buying and selling point.
# Through a Demo account, perform the (buy/sell) through Gaps levels. Explain the procedure (Required Screenshots).
in the above picture, we can clearly see the buying pointer some candles created in gap up or called as runaway gap in which we will buy and after that, some candles formed we saw a gap down we will sell our selected coin.
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