What are supply and demand zones?

Here's How... Supply and demand zones are those levels in trading that attract most buyers and sellers. This is probably the simplest explanation you will find online. In this article, I will walk you through all of the pros and cons of using supply and demand zones.

What are the best timeframes to spot supply and demand zones?

In my experience, the best timeframes to spot supply and demand zones are the 4H and the Daily. The best way to find supply and demand zones is to look at a candlestick chart. Here is the order of things to do to spot supply and demand zones : Look at the chart and try to spot successive large successive candles.

What is the difference between support & resistance & supply & demand zones?

When it comes to differentiating between support and resistance and supply and demand zones, there is one major difference. Support and resistance are a SINGLE LINE. Supply and demand zones as the name implies are ZONES. Apart from that, there are no major differences. On the other side, there are different variations of both. For example…

How do you draw supply zones?

The way we draw supply zones is practically the same as demand zones. Place a zone on the most recent swing high, bringing it down to the last small candle that formed before the decline. First, find a big decline where you think a supply zone has formed. As with demand zones, we always draw supply zones from the base or source of the move.