Anatomy of Chart Patterns: Support and Resistances

Bulls guard the support line and bears guard the resistance line. As the price moves towards the support line, bulls are challenged by bears and the strongest one wins.

For example, at a resistance line, if bears are strong, they will be able to push the price back down and guard their resistance line. Else, price will be able to break the resistance line and move forward.



Where does the thrust come after the resistance line is take out? Because there are bulls just after the resistance line and add up to the price move. For example, stop losses, fresh long entry traders, adders and are taken just above the resistance line.