Tiblio Option Trading Series - Support and Resistance
This is a short video that I hope quickly answers the question of how to find support and resistance lines and how those inform trading decisions.
I was recently in our Discord answering a question about a trade which immediately drew the topic.
I usually look at these on roughly 2 month or 3 month timeframes. Its always good to zoom out and look at a broader timeframe to see what has the stock been doing. Has it been chopping back and forth, going up, or going down?
If theres a lot of trading and a lot of money changing hands, we can say that is a pretty important level.
Often times in Tiblio we like to sell options. So for selling options, I have a contrarian perspective of the market. I'm looking to sell call spreads when the market is trading near a resistance level.
I hope that this helps you in your trading and helping you decide on when to open your trades and when to close them. You can always trade with Roger, Tiblio AI's special agent, applying algorithms to drive income according to your strategy.