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Trading glossary · structure

resistance

A price ceiling where sellers keep stepping in, so price often stops rising and turns back down.

The fuller meaning

A price zone where selling has repeatedly stopped advances. It is drawn as a zone, not a thin line, and gains weight with more touches, volume and round numbers. A decisive close above it is a breakout, and broken resistance often becomes support on a retest.

resistance, also called ceiling, resistance level, resistance zone.

Related words

above-average volume · bounce · break of structure · breakaway gap · breakdown · breakout · broken level · channel · choppy market · common gap