Support and resistance

[denero234]

What's the difference between supply and demand to support and resistance

 

[Fxzombie]

In my opinion, the two are similar but not the same, identical twins but have special characteristics, support resistance reflects a price zone that is hard to break, supply demand reflects the balance of trading volume between buyers and sellers. In the equilibrium phase, prices tend to be flat because there is a balance in the volume of buyers and sellers, when a rally reflects the volume of buyers dominating more than sellers.

 

[pippin]

What's the difference between supply and demand to support and resistance

Supply and demand in trading refer to the fundamental economic forces that drive price movements. Supply is the amount of a particular asset available in the market, while demand is the desire and ability of buyers to purchase it. When demand exceeds supply, prices rise, and when supply exceeds demand, prices fall.

 

[Fxzombie]

It seems like there is a Supply and Demand indicator created by a third party, which automatically draws supply and demand zones like horizontal lines which are considered support and resistance. however, plotting on different timeframes produces different channels.

 

[pippin]

What's the difference between supply and demand to support and resistance

Supply and demand refer to the fundamental forces in a market that dictate price movement. Supply is the amount of an asset available, while demand represents the desire to purchase that asset. When demand exceeds supply, prices rise, and when supply exceeds demand, prices fall.

Support and resistance, on the other hand, are specific price levels identified through technical analysis. Support is a price level where the asset tends to find buying interest, preventing it from falling further. Resistance is a price level where selling pressure prevents the price from rising higher. While support and resistance reflect supply and demand dynamics, they are technical concepts used to predict market behavior at specific price points.