Drawing Support, Resistance, and Trendlines

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The third point is when the market comes back to the support, resistance, or trend. The third point tends to be one of the best areas to expect a reaction point in the Market. Meaning, if were going to buy at a support when the Market is low, we would wait for the market to come back to a support to expect a bigger reaction up in the market. After the third point, expect a big reaction.