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Support Level
๐ A support level is the price at which an asset may find difficulty falling below as traders look to buy around that level.
๐ Usually, the markets prove unwilling to let an asset drop below its support level, with buyers stepping in to raise the assetโs price higher again.
๐ That makes them the opposite of resistance levels: the point at which the markets prove unwilling to let an assetโs price rise any higher.
๐ If an asset does move below its support level, then that support level is either wiped out โ and a new support level must be identified โ or reconfirmed, if lots of traders buy the asset.
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๐ A support level is the price at which an asset may find difficulty falling below as traders look to buy around that level.
๐ Usually, the markets prove unwilling to let an asset drop below its support level, with buyers stepping in to raise the assetโs price higher again.
๐ That makes them the opposite of resistance levels: the point at which the markets prove unwilling to let an assetโs price rise any higher.
๐ If an asset does move below its support level, then that support level is either wiped out โ and a new support level must be identified โ or reconfirmed, if lots of traders buy the asset.
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