Upper Magenta Dotted Line - Ultimate Resistance
These lines are the hardest to penetrate on the way up, and provide the greatest resistance. (Prices sometimes never make it through these lines).·
Upper Grey Line - Weak, Stall and Reverse (not displayed – halfway line)
This line is weak. If prices however run up too far too fast, and if they stall at this line they will reverse down fast. If prices do not stall at this line they will move up to the Upper Magenta Dotted line.·
Upper White Dots - Pivot, Reverse (displayed when prices come close)
This line is second only to the Central Yellow dotted line in its ability to force prices to reverse. This is true whether prices are moving up or down.·
Upper Trading Range Level (not displayed – halfway line)
The prices of all entities will spend 40% of the time moving between the Upper Green line and Lower Green line. If prices move above the Upper Green line and stay above it for 10 to 12 bars, the entity is said to be selling at a premium to what one wants to pay for it and prices will tend to stay above this line in the "premium area". If, however, prices fall below the Upper Green line then they will tend to fall further looking for support at a lower level.·
Central Yellow Dots - Major Support/Resistance Pivot Point
This line provides the greatest amount of support and resistance. This line has the greatest support when prices are above it and the greatest resistance when prices are below it. This price level is the best level to sell and buy against.·
Lower Trading Range Level (not displayed – halfway line)
If prices are below this line and moving upwards, this line is difficult to penetrate. If prices penetrate above this line and stay above this line for 10 to 12 bars then prices will stay above this line and spend 40% of the time moving between this line and the Upper Green line.·
Lower White Dots - Pivot, Reverse (displayed when prices come close)
This line is second only to the Central Blue line in its ability to force prices to reverse. This is true whether prices are moving up or down.·
Lower Grey Line - Weak, Stall and Reverse (not displayed – halfway line)
This line is weak. If prices however run down too far too fast, and if they stall at this line they will reverse up fast. If prices do not stall at this line they will move down to the Lower Cyan Dotted line.·
Lower Cyan Dotted Line - Ultimate Support
These lines are the hardest to penetrate on the way down and provide the greatest support. (Prices sometimes never make it through these lines).
