21 ODD ENHANCERS AT DEMAND AND SUPPLY ZONES

1. STRENGTH OF THE MOVE

• Gapping away candles or large candles from the zone indicates strength.
• More the retracing candles in the move, the lesser the strength of the move.

2. ORIGIN OF THE STRONG RALLY/DECLINE

3. FRESH DZ/SZ

4. RISK-REWARD RATIO OR PROFIT MARGIN

• 1:2 minimum, 1:3 preferable

5. RETRACEMENT/HITTING OF THE ZONE

• More the number of retracement/hits weaker the zone.
• Less the number of retracement/hits stronger the zone.

6. BIG PICTURE

• A dominant trend in favor of the trade.

7. TIME SPENT AT THE ZONE

• More number of candles at the zone means more time spent at the zone indicating lesser supply/demand and hence a weak zone.
• Lesser number of candles at the zone means less time spent on the zone indicating strong supply/demand and hence a strong zone.

8. ARRIVAL AT THE ZONE

• Faster the approach, the harder the bounce.
• Slower the approach, the less the bounce.

9. DISTANCE OF THE RALLY/DECLINE FROM THE ZONE

• More the distance of the rally/decline from the zone, the more the strength of the zone.
• Less the distance of the rally/decline from the zone, less the strength of the zone

10. LEVEL ON LEVEL

• Level on level indicates a stack of order.
• Level on level signifies more strength of the zone.

11. LONG-TERM DEMAND/SUPPLY ZONES

• Price visiting the zone after a long period of time defines the strength of the zone.
• More time, more strength.
• Less time, less strength.

12. COINCIDING OF THE MA AND THE ZONE

• Larger the MA at the zone, the stronger the zone.

13. DIVERGENCE AT THE ZONES FROM THE INDICATORS

14. DIVERGENCES IN THE BOLLINGER BANDS

15. A LARGE VOLUME SPIKE ON THE ZONE INDICATES ACCUMULATION

16. PATTERN FORMATION ON THE ZONE

• Chart patterns.
• Candlestick patterns

17. BOUNCE OFF SUPPORT/RESISTANCE

• Lower volumes as you approach the level.
• Smaller candles.
• Opposing pressure showing on the candles.

18. BREAK OF SUPPORT/RESISTANCE

• Higher volumes as you approach the levels and on break.
• Larger candles.
• Pressure showing on the candle in the direction of the break.
• Markets/Sector confirming.

19. EXHAUSTION GAP AT THE ZONE

20. BREADTH

21. GAP UP AT SUPPLY ZONE AND GAP DOWN AT DEMAND ZONE