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Support and Resistance Level Breakthroughs

The chart goes beyond the support and resistance levels periodically and breaks through them.

If the price plummets and continues to decline, the support level becomes the resistance level.

This happens when traders begin to sell an asset in high volumes. In this case its value takes the plunge.

If the asset price spikes and continues to increase, the resistance level becomes the support level.

The reason for such a breakthrough is a large volume of asset purchasing. In this case its value is roaring.

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