Support is a price level where a downtrend can be expected to pause due to a concentration of demand. As the price of security drops, demand for the shares increases, thus forming the support line. Meanwhile, resistance zones arise due to a sell-off when prices increase.
- Support acts as a floor that limits any further downward movement and an area on your chart with potential buying pressure.
- Resistance, on the other hand, acts as a ceiling limiting further upward movement and an area on your chart with potential selling pressure.
Support in the past can mean resistance in the future. The same thing goes for resistance. The Resistance in the past could mean support in the future. Support and resistance levels are some of the key concepts used by technical analysts and form the basis of a wide variety of technical analysis tools.
Both are formed through the actions of the traders in the current market.
What Does This Indicator Do?
We have converted this indicator from the MT4 trading platform to work on the cTrader platform. We had to do an extensive cleanup and bug fixing of the code including adding the alert logic for email and telegram, it can display both weak and strong support and resistance levels on your chart in the form of a box, we decided not to shade the boxes so you can see the candlestick price action.
Dynamic Support & Resistance Zones
This indicator will dynamically add and remove new support and resistance zones as the price action is happening in real-time, so you can just leave it running and receive alerts when the price reaches a strong support or resistance zone. When a zone has been breached it is deemed as no longer a support or resistance level and this zone is automatically removed from the chart.
What Timeframes are Supported?
Unfortunately, not all timeframes are supported, the list below shows what is supported, if you would like your favourite chart timeframe added please send an email to development@clickalgo.com and we will add them for you.
- 1-Min, 2-Min, 3-Min, 4-Min, 5-Min, 10-Min, 15-Min, 30-Min, 1-Hour, 4-Hour, 6-Hour, 8-Hour, 12-Hour, Daily, Weekly & Monthly.
What Kind of Alerts Are There?
The alerts are a pop-up message on the screen, an audible sound that you can configure yourself, an email message and a free instant telegram message.
Install the Telegram App on your mobile phone and receive free instant messages, you no longer need to pay using an SMS service.
How to Trade Support & Resistance Levels
Download this PDF document if you want to learn how to trade support and resistance levels by clicking on the link below.
Configurable Settings
Your adjustable parameters for the indicator are shown below, you also have the option to show the price levels for the strong supply and demand levels.
Watch a Video Demo
We have recorded a hands-on tutorial on how to use risk management tools correctly.
Duration: 7-minutes - Watch full screen on YouTube
How To Install & Remove
First, make sure you have the cTrader trading platform installed and then simply unzip the file and double-click on it to automatically install it onto the platform.
Any Questions?
If you have any questions, please first search our product help forum for the answer, if you cannot find it, post a new question.
