What are support and resistance?
Support and resistance zones taken from the low and high of the previous 20 candles.
What is Support and Resistance?
Support and resistance zones taken from the low and high of the previous 20 candles.
Illustrative signals of the rule on simulated data — not a trading recommendation.
Rule: Price touches the support/resistance zone of the previous 20 candles, then closes back inside: buy/sell. Entry = close of the signal candle; SL = entry ∓ 1.5 × ATR(14); TP1/TP2/TP3 = 1R/2R/3R.
How to read Support and Resistance signals
How Support / Resistance produces its number, and what each shape on the chart means.
Formula and how it works
The lowest low and highest high of the previous 20 candles form two reference zones. A candle that touches a zone and then closes back inside shows a price reaction.
State how a zone is confirmed, its width and the rule when the zone breaks in the EA brief.
Recommended MT5 parameters for Support and Resistance
Values used in the illustration; confirm them before deploying an EA.
| Parameter | Description |
|---|---|
| Bars | The previous 20 candles, not counting the current one. |
Frequently asked questions about Support and Resistance
Does Support and Resistance on this page use real or simulated data?
The chart on this page uses a deterministic simulated candle series; it is not market prices or trading results.
Can Support and Resistance be used in an EA?
You can describe the rule and parameters in a Custom EA brief. It needs independent testing with real data and server time.
How are the SL and TP levels on the Support and Resistance chart calculated?
Entry is the close of the signal candle. SL is 1.5 times ATR(14) away from entry; TP1, TP2 and TP3 are 1R, 2R and 3R away from entry.
Using Support and Resistance in an EA, and further reading
State the candle-close condition, parameters and server time clearly when you put the rule into an EA. See the EAs available on the marketplace to compare options, or read how to read MT5 backtest results before judging any EA.
Other price action indicators
Indicators in the same price action group, often used instead of or alongside Support and Resistance.
An indicator draws signals, but when to enter, where to stop out and how much to risk are still your set of rules. Send those rules and DinexSpace builds them into an EA.