the probabilities favor at least a temporary halt in the prevailing trend.Support and ResistanceIn their classic book Technical Analysis of Stock Trends, Edwards and Magee defined support as "buying (actual or potential) sufficient in volume to halt a downtrend in prices for an appreciable period," and resistance as "selling (actual or potential) sufficient in volume to satisfy all bids and hence stop prices from going higher for a time."A support zone represents a concentration of demand, and a resistance zone represents a concentration of supply. The word concentration is emphasized because supply and demand are always in balance, but it is the relative enthusiasm of buyers as compared to sellers, or vice versa, that is important because that is what determines trends. If buyers are more enthusiastic than sellers, they will continually increase their bids until their purchasing demands have been satisfied. On the other hand, if sellers are the more anxious, then they will be willing to liquidate at lower prices and the general price level will fall.
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