Support and resistance is not something new in the world of trading. The concept is used as an indicator to predict various stock market fluctuations. Actually, the concept has a lot to do with the theory of supply and demand. Most charts look like exhibiting random price patterns, but when the theory of support, or of resistance, is applied, very often the price fluctuations on such charts no longer seem random.

Personally, I began to notice a trend similar to this when I watched stock ticker. Sitting in front of the TV, watching stock ticker, over time it occurred to me that certain price points of Down Jones Industrial Average had a bit of difficulty trying to break through other levels. Moreover, when round numbers were involved and the prices attempted to move, the forex trend became even more obvious.

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