We recommend reading this chapter on Varsity to learn more and understand the concepts in-depth.
Key takeaways from this chapter
- S&R are price points on the chart.
- Support is a price point below the current market price that indicates buying interest.
- Resistance is a price point above the current market price, indicating selling interest.
- To identify S&R, place a horizontal line to connect at least three price action zones, well-spaced in time. The more price action zones (well spaced in time) the horizontal line associates, the stronger is S&R.
- S&R can be used to identify targets for the trade. For a long trade, look for the immediate resistance level as the target. For a short trade, look for the immediate support level as the target.
- Lastly, comply with the checklist for optimal trading results.
Hey, want to learn about some patters like the w pattern, where the trends generally change
This entire module is dedicated to candlestick patterns from which you can learn to identify trades.
Shall we consider Pivot points S&R for trade or draw manually ..
You can consider either.
Wont every support point rise leading to a higher price lead resistance point…i mean wont there always will be a resistance point between 2 support points
Not necessary right?
Sir I\’m a student and want to learn about market and want to start investing in this from where should I start MUtual fund or Swing? how much money should i have to keep to start?
Nitish, you\’ve come to the right place. You can either start reading the modules, or start with these videos – https://www.youtube.com/playlist?list=PLX2SHiKfualFOP8IhtCitEBNbLXZjm6oh
Can someone give steps to draw support and resistance, for how much period backwards we should mark s&r?
How to get these levels?
What points to be consider while deciding support or resistance?
Dinesh, I\’ve discussed these steps in the chapter itself.
It is suggested that support and resistance lines work on higher time frame. I do intraday and scalping, in my case how to draw support and resistance.
The concept remains the same. You just have to apply the same over intraday time frame, maybe like a 10 or 15mins chart.
For trading in futures which time frame we should apply to see support n resistance level..
N how can we add the. Charts , images.. I m not able to do it
I\’d suggest you use end of day charts from this, Shweta.
which timeframe is the best to plot S&R points on the chart?
I\’d suggest end of day data, Aayush.
sir just to check my knowledge i learnt so far
in the last example of HUL you showed, there is a bullish engulfing pattern at the support zone so the price might go up, am I right?
Yes, just that when several checklist items align, the odds of the price moving the direction we anticipate increases. But there is nothing called guarantee in markets.
What timeframe should we use to plot support and resistance for intraday trading?
I\’d suggest you stick to EOD candles even for intraday trading.
Nice explanation. It will definitely be helpful.
Sure, glad you found the content useful.
sir for intraday trading in which timeframe we have to draw s&r
I\’d suggest you stick to end of day charts.
Sir,Could you share the time frame that you are using
Most of it EOD chart, unless specified.
Which time frame is good for intraday traders to draw support and resistance
I\’d suggest end of day, Vijith.
your all techinacal explanation on all indicator sufficient to understand keep up. thank you sir
Thanks, happy learning!
kartik sir,i have doubt that if the candlestick patterns,chart pattern and indicators all are pointing towards an uptrend but the price of that stock is trading near the resistence level , what should we focus on more at that time
If majority of the factors are pointing to a breakout, then you should have a postion in long direction. It maybe worth the risk.
video is very helpful
Sir there are so much of theories then how do we identify that which theory will be applied
You will know as and when you start trading the markets. Each situation is different and overtime intuitively you will know which strategy to apply and what theory that strategy would require.
Hello Kartik, so I have a doubt. Support represent Buying Interest and Resistance represent Selling Interest. Then why do we long on immediate resistance level and Short on Immediate Support Level
Its the other way round right, thats what I\’ve explained in the chapter also 🙂
Pratik Singh\’s command over the language is commendable with not a single mistake in most of his videos. Amazing. Easy to understand with practical examples. Thank you Zerodha and Varsity by Zerodha. God bless you always.
Yeah, Pratik is too good 🙂
Where can we see current resistances and support for indexes like Nifty50
You can load the chart on Kite on either TradingView or ChartIQ and observe the chart.
do engulfing ,piercing ,dark cloud cover pattern need to be made at the end of the day (is it a specific condition ) or it can be made anytime of the day
It can occur at any point during or across multiple trading sessions on both intraday and EOD basis.
What is scalping and can you share some information about it?
Please check section 19.5 – https://zerodha.com/varsity/chapter/finale-helping-get-started/
I paid 200 rupees yesterday for join this but my account is not successful. It is again require 200 rupees but I paid
Akash, I\’d suggest you speak to customer care; I\’d not be aware of this.
I am ur client
I want to use VWAP IN
BANK NIFTY AND IN NIFTY
UR APP COULD NOT BE USED
IT SHOWS ERROR VWAP REQUIRS VOLUME
Please do check with the support team once.
i do have a question. People say the trend is a friend. so here trend refers to index trends like nifty 50 or banknifty or trend of that particular stock?
For overall market\’s trend, you need to look at Nifty or Bank Nifty. YOu can look at individual stocks for stock specific trend.
Share price of one particular company is closed around 1500 on day one and it is around 1700 after a month or 1300 after month.
How the above share price variations really affect the company\’s internal operations.
Will you please explain?
The change in share price won\’t impact the company\’s internal operations.
When we see support and resistance on larger time frame, it look far away from current prices, so, please help how an we get support and resistance for intra day and how to target our trade..
YOu can reduce the timeframe to see if you can identify any shorter-term S&R.
I like his teaching.He is explaining concepts in a good and easy way bro
I\’m not here to point-out what minor mistake(s) they\’ve made. I\’m here to find what my blind spots are, what can I learn from these valuable contents.
Thanks Karthik and Zerodha team to take the pain for us.
Happy learning, Prashant!
I AM LEARNING ABOUT TECHNICAL ANYLYSIS AND MARKET FROM 10 MONTHS…STILL MAKING LOSSES AFTER LEARNING FROM VARSITY …ANYONE CAN PLZZ SUGGEST ME WHICH COURSES SHOULD I PREFER TO LEARN MORE IN DEEP AND THE WAY FOR PROFFESSIONAL TRADER
A different course will not help. Please analyze where you are going wrong. Are you position sizing properly? Managing risk properly? Figure out where you are messing up.
Excellent
Very useful from Versity for beginners.. Ur videos made me to enter stock market and one thing can u guide us what is the best book for beginners??
Happy to note that, Jagannath. I\’d suggest you read through the content on Varsity web 🙂
thanks. its really useful
Happy learning!
THE VIDEOS ARE NOT IN A FRIENDLY LANGUAGE WHERE A BEGINNER CAN LEARN SOMETHING TOO MUCH OF TECHNICAL LANGUAGE WHICH IS DIFFICULT FOR A BEGINNER TO COPE WITH UP
I am using Zerodha to trade stocks. I am unable to find support & resistance levels in the charts. How to ensure that i can see them. Please advice.
Narendra, you will have to plot the S&R manually.
Nifty and bank nifty option
Want varsity in marathi language.also want best stock market books for indian investors which are beginners in marathi.plz reply
Not sure about Marathi, Dr.Pradeep, will be very tough to get his translated. But will keep this in mind.