A price level where a downtrend tends to pause due to a concentration of demand (buying interest).
A price level where a downtrend tends to pause due to a concentration of demand (buying interest).
Street Wall St.'s Definition:
What exactly is Support Level? A price level where a downtrend tends to pause due to a concentration of demand (buying interest). How is it Used on the Street? 🏙️ A psychological floor on a stock chart where buyers always seem to step in. The price drops to this line and repeatedly bounces off it like a trampoline. When Do You Actually Use This? ⏱️ When you need to step back and read the room. You look at these concepts when the market environment is shifting so you can surf the wave instead of getting completely wrecked by a sudden downturn. Fighting the overall trend is exhausting and expensive. By understanding what phase the market is in, you can figure out which sectors are about to pop off and which ones are dying. It tells you whether you should be aggressively buying the dip, or playing it safe and holding onto cash. The StreetWallStreet Pro Tip 🔥 Difficulty Level - Intermediate: This is where you actually start to level up. Getting comfortable with this concept gives you a serious edge over the retail crowd who are just blindly throwing darts at a board. Start applying this to find your unique edge in the market. It might take some practice and a few mistakes for it to click, but once you internalize this, you will see market setups completely differently.