Are there any universal support and resistance levels in the forex market? - page 12
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That's a lot of levels. ....
The aim was to show that they (universal) exist. If I could find one or, say, three levels, I'd say that's not enough to draw conclusions.
But now we need to understand, do such universal price levels matter?
For example, the same levels but a different symbol.
USDCAD
AUDNZD
AUDCAD
NZDCAD
In addition, you should be critical to the information provided, because it is just a check. Comparison or optimization has not been performed. And what is important, these levels are chosen based on EURUSD. So these are exactly the levels that corresponded to EURUSD.
Speaking of existing volumes, is it relevant to use the exchange volumes in the cup to calculate the average price?
The images below show that EURUSD is negatively correlated with the USD index (custom), which is calculated from: 50.14348112*pow(ask(EURUSD),-0.576)*pow(USDJPY,0.136)*pow(ask(GBPUSD),-0.119)*pow(USDCAD,0.091)*pow(USDSEK,0.042)*pow(USDCHF,0.036)
In fact, EUR is the same "custom" USD index, but with negative correlation.
We have used in our indicators custom USD index, billing period D1
US dollar index from Market Watch, calculation period D1
Custom USD index, billing period W1
US dollar index from Market Watch, settlement period W1 is used in indicators
What trade volume is displayed in the USD and EURUSD index respectively: EURUSD or USDJPY or GBPUSD or USDCAD or USDSEK or USDCHF?
In terms of existing volumes, is it relevant to use the stock volumes in the cup to calculate the average price?
The images below show that EURUSD is negatively correlated with the USD index (custom), which is calculated from: 50.14348112*pow(ask(EURUSD),-0.576)*pow(USDJPY,0.136)*pow(ask(GBPUSD),-0.119)*pow(USDCAD,0.091)*pow(USDSEK,0.042)*pow(USDCHF,0.036)
In fact, EUR is the same "custom" USD index, but with negative correlation.
We have used in our indicators custom USD index, billing period D1
US dollar index from Market Watch, calculation period D1
Custom USD index, billing period W1
US dollar index from Market Watch, settlement period W1 is used in indicators
What trading volume is displayed in the cup for USD and EURUSD index respectively: EURUSD or USDJPY or GBPUSD or USDCAD or USDSEK or USDCHF?
As they say, clearly!
Have you ever tried to divide a unit by a quote?
Well, in EURUSD, USD is the denominator.
As the saying goes, plain as day!
Ever tried dividing a unit by a quote?
Well, in EURUSD, USD is the denominator.
I've started to go back to my old ideas about currency baskets,
just by looking at the available demand volumes:
the same ratios for other available DCs. Which is suggestive :-)
And of course any currency index/basket will correlate (directly/inversely) with EURUSD, there is nothing to get away from - simply EUR is the main traded currency after USD, it will be present in any index (at least via foulers a la GBP, CHF)
It is possible to draw conclusions about universal resistance and support levels. Levels calculated for one symbol are also applicable to another symbol, provided the symbol's price range is the same.
For example, levels calculated in NZDCAD correspond to AUDUSD and so do other symbols.
If you want to compare the prices yourself, use the attached file "Pice_from_0_63515_to_0_97342.tpl".
Conclusions can be drawn about universal resistance and support levels. Levels calculated for one symbol are also applicable to another symbol, provided the symbol's price range is the same.
For example, levels calculated in NZDCAD correspond to AUDUSD and so do other symbols.
If you want to compare the prices yourself, use the attached "Pice_from_0_63515_to_0_97342.tpl" file
What is the volume on the levels?
If the volume is unknown, it's just lines without meaning for now.
When the volume is there, and if the calculation results in the current price, then this thing will already deserve attention.
For a basic understanding of levels, study this screen
Question: "Are there universal support and resistance levels in the forex market?"
By universal support and resistance I mean a level that was created at a different time, by a different financial instrument, but is related to the current moment and the selected symbol.
For example, the support and resistance level for EURUSD, calculated using the USDCHF symbol: 28.12.2007 16:00.
Or, EURUSD support and resistance level calculated using the AUDNZD symbol : 08.05.1997 00:00.
Or, EURUSD support and resistance level calculated by using the AUDNZD symbol : 12.06.2007 00:00.
Or, EURUSD support and resistance level calculated by using the USDCAD symbol : 30.10.2006 00:00.
Or, EURUSD support and resistance level calculated using the EURUSD symbol : 13.03.1997 00:00:00.
Or, EURUSD support and resistance level calculated using the USDCHF symbol: 16.12.2004 08:00.
Or, the EURUSD support and resistance level calculated using the USDCAD symbol: 12.03.2007 08:00.
This is what the EURUSD chart looks like, where support and resistance levels are calculated for different symbols using the history available for each symbol.
It is possible to draw conclusions about universal resistance and support levels. Levels calculated for one symbol are also applicable to another symbol, provided the symbol's price range is the same.
For example, levels calculated in NZDCAD correspond to AUDUSD and so do other symbols.
If you want to compare the prices yourself, use the attached "Pice_from_0_63515_to_0_97342.tpl" file
Yesterday I surprisingly saw the same thing, but built on renco bars, the picture turned out to be successful.
Try using renko
P.S. Or maybe try Heiken Ashi first, it will also smooth out the priceSupports and resistances appear similar only because the symbols are time-synchronised. They have peaks and troughs in trading activity at the same time.
They have no physical/financial/psychological meaning (when transferred to another symbol).
Lest it be the "apotheosis" that it is now, any observation and action on them must be explained from a physical model.
And always the inexorable Occam's razor - if the observable can be explained in known categories, then there is no need to invent new ones.
There are no horizontal sup/res from other symbols, just quirks of general synchronicity and local volatility.