Constructing A Trading Strategy with Support & Resistance and Candlestick Analysis

Support and resistance levels are the 'best friends' of price action traders. When a price action entry signal arises at a crucial level of support or resistance, a high-probability entry scenario can occur. The level acts as a 'barrier against which you may set your stop loss. Because it has a high probability of becoming a market turning moment, a tremendous risk-reward ratio is often developed at critical support and resistance levels.

The most innovative trades typically occur at support and resistance; regardless of how you see the chart, this is evident. While most traders like using support and resistance as a trading technique, they frequently lack a simple approach for profiting from price action support and resistance.
Whether it is a pin bar or another type, the price action entrance indication offers us some 'confirmation that the price has entered.

When in question about whether to accept an entry signal based on price movement or not, consider if it is at a crucial level of support or resistance. If the signal is not at a critical level of support or resistance, it may be preferable to pass it on.

If a price trading method, such as a pin bar, fakey bar, or inside bar technique, emerges from a confluent level of support or resistance in the market, it has a considerably more prominent probability of succeeding.
Buying or selling near support or resistance can be profitable, but there is no guarantee that the support or resistance will remain. As a result, consider waiting for evidence that the market continues to respect that zone.
If purchasing near support, wait for a consolidation in the support area and then buy when the price breaks above the tiny consolidation region's high. When the price makes such a move, it indicates that the price still respects the support region and has begun to go upwards. Similarly, selling at resistance is a principle that applies. Consolidate at the resistance region and launch a short trade when the price falls below the low of the modest consolidation.
Place a stop loss few pips below support when buying or above when shorting.

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