Resistance Level
ForexDefinition
A resistance level is a price point at which an asset has historically struggled to move above, as selling pressure tends to exceed buying pressure at that level. Resistance levels are key components of technical analysis and help investors identify potential reversal zones.
Example in context
GBP/USD has repeatedly failed to break above 1.3000 over the past six months, establishing it as a strong resistance level where short sellers tend to enter the market.
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