Drawing trend lines ... Some common uses include: • Identifying entry points: Support and resistance levels can be used to identify good entry points for trades. For example, if the price ...

A stock’s resistance level is the price it tends not to ... Two different investors might draw two different support lines depending on the respective time frames each wishes to examine.

And even better: draw the lines, especially the horizontal ... it tends to form a Support or Resistance level. Your next logical quest will be to identify them on a price chart.

Because these two investors have different goals, they would draw different resistance lines on different graphs. Support is the opposite of resistance. If a stock’s resistance level represents ...