Ok not only are previous stock prices that are higher then the current price resistance but moving average lines can act as resistance if they are HIGHER then the current price! Look at this chart, many of you tell me you dont understand what all the lines mean. Well in the top left corner of this chart you see a BOX i highlighted in blue. Its the MA (moving average) box. The blue line is the 20 MA line, red is 50 MA line, green is 100 MA line and pink line is 200 MA line. Remeber those colors or refer to the upper left box when you forget.
Ok so in this PLNI chart, the current price is .01 the previous high prices for resistance are R1 = .015 R2 = .016 BUT theres more..... Moving average lines that are higher then the current stock price are also resistance. SOOOO the blue 20 MA line is set at .012 meaning the line is currently at that price, so that is resistance along with RED 50 MA line at .0135 and GREEN 100 MA line at .0145 (estimate with my eye here as all prices are marked on the right side of the chart in increments of .0005 if I am not mistaken. So whats PLNI resistance then, well .012 (20 MA line) .0135 (50 MA line) .0145 (100 MA line) and .015 (previous run high) and .016 (previous run high)
