Resistance points

Shares can often trade in channels, rarely breaking below or above consistent minimum and maximum prices. Those are a stock's resistance points.

Resistance points are critical to car buyers. Say you budget to spend £10,000. You will happily buy from a dealer for £9,999, but not £10,200 without a big push. The same rule applies to stockmarkets.

Shares, for example, can often trade in channels, rarely breaking below or above consistent minimum and maximum prices. Those are a stock's resistance points.

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