A new drawing tool recently released in QS Trading Software allows you to plot support and resistance lines automatically simply by selecting two points in a chart.
Steps:
- Select the "Auto Support/Resistance" from the drawing tools panel
- Click on a chart to select the start point
- As you move your mouse, you will see how the support and resistance lines are drawn on the chart
- Click once again on the chart to complete the drawing process
There are two ways to extend the support and resistance lines:
- Right click on the support or resistance line, select the second tab then choose an item from the "Extend Type" list:
No_Extend: Lines are drawn from the start to the end point
Extend_Line: Lines are extended
Extend_Trendlines: The end points of the support and resistance lines are set to the last quote bar.
Bars to Skip:
The "Bars to skip" setting defines the number of bars to skip around the high and low.
Example: If you set the value to 5 then the close/high price (depending on your setting) is allowed to trade above the resistance line in the 5 bars that comes before or after the highest high.
