Some Examples
In this section we have provided some sample screenshots of the S/R Analyst Pro script in action. These screenshots will give you a better idea of how the software works and how it can help your trading.
The Intellidata chart above provides a clear example of the Gap line tool. The two red lines at the 1.60 price level highlight a gap down that occurred at the end of February and this gap is still open. We can also see an upper trendline that extends down from a higher price level. This trendline will intersect with the price gap at the 1.60 level which would indicate that this price level could be a strong resistance zone in the future. You can also see that there was another large gap down in early November of 2003 and the upper Gap line in that Gap line pair remains unbroken. Remember that Gap and/or S/R lines are not considered to be broken until price closes on the other side of the line.
The Nasdaq e-mini chart above shows how the auto-trendline tool can highlight tradeable price patterns, in this case a triangle formation. We can also see that there are two active Gap zones in close proximity to current price: a gap-down that occurred on 3/18 and the lower line of a gap-up that occurred on 3/17.
The 5-min Dollar Index chart above is a good illustration of using the trendline, support/resistance zone and Gap line information together when reviewing a chart. Price has broken up through the trendline but is currently in an area peppered with several small Gap zones. In addition, there is an active S/R line at about the 88.53 level that may provide support in the event that the downtrend resumes.
In this currency pair chart, we see that price is retracing down to a trendline that is in the vicinity of several levels of historically strong support.
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