Original subtitles

0 Hello and welcome to the first video analysis, using the top-down approach. We are looking at forex 1

chart of EURUSD and we will put everything we have learned so far in this course into practice. 2

As we have studied earlier, 3

we start from monthly timeframe to start plotting support and resistance level. 4

Guys, I always label my support and resistance level starting from the top of any chart and continue labeling 5

as I progress downwards. 6

This is the first major level that we see here. 7

Remember, the key is to place your line at an obvious support and resistance level and try to get as 8

many touches as possible with this line. 9

Look how this level acted as support and assistance on EURUSD for 4 times in the past. 10

Similarly, I label the next significant support and resistance level here. 11

This level was tested five times by EURUSD hence making it an important level to watch out for. 12

Now, I want you to study the next support and assistance level carefully. 13

This is because not only it is a significant level, but also because it is very close to the recent 14

price activity on this pair. 15

Once again, notice how this level has been respected multiple times in the past. 16

The next level also includes the recent price movement, as you see here. 17

Look at the number of touches here as well. 18

You would soon notice how I will use this major levels to draw support and resistance zones for taking 19

trades within a sideways price movement or to look for breakout entries on daily and 20

4-hour timeframes. 21

This is the next support and resistance level. 22

Do not worry if they look very close on monthly charts, as once we advance to daily and 4-hour timeframes, 23

these levels will separate by more than a few hundred pips in price. As long as our support 24

and resistance level includes obviously multiple touches. 25

I would advise you to include them in your analysis. 26

Here we see another multi-year support and resistance, which has many touches. 27

I think this is also a clearly visible level, which I missed earlier. 28

And finally, this is the last support and assistance level on EURUSD monthly chart. 29

Guys, we will now switch to weekly charts, I would advise you to use weekly charts as a confirmation 30

to your monthly levels and to see if you need to adjust any levels. 31

Otherwise, weekly charts do not carry much significant when there is enough monthly data available. 32

The next step is to analyze the recent price action on daily and 4-hour charts. 33

This is where I will plot support and resistance zones using these lines that we plotted on weekly and 34

monthly timeframe. 35

There is no thumb rule to how to draw these zones, but it is advised to keep these zones 36

as narrow as possible. 37

So using the recent candle tales, I will plot the resistance zone first. 38

This zone gives me a price range where I will look to sell this pair once confirmed by volume and price 39

action, which I will teach you later in this course. 40

In the same way, I will plot the support zone while keeping overlapping candles in focus. 41

Guys, I use different colors to help me distinguish between support and resistance zones and for clarity 42

in my analysis. 43

So, guys, what you have here is possible boundaries where price will move in a sideways direction. 44

I will quickly show you the same on 4-hour charts. 45

This is all you need to know for the time being, and it concludes the top-down support and resistance 46

analysis on EURUSD, go ahead and practice these analysis on your own. 47

And I will see you in the next video.