4.3Fresh vs Tested Zones
- ·The difference between fresh and tested zones
- ·How repeated testing changes zone quality
- ·Why no zone should be assumed to hold
A fresh zone has experienced little or no subsequent interaction.
A tested zone has already been revisited.
Repeated testing can change the quality of a zone. Never assume a zone will automatically hold.
Each test consumes evidence.
A demand zone that holds on the first return may produce a weaker reaction on the third, as the orders that created it are progressively absorbed.
Examples use historical or illustrative data only. They are not live market signals.
Take one zone and record its reaction on each subsequent test. Note whether reactions strengthen or weaken.
A fresh zone is one that:
A zone becomes stronger every time it is tested.
- 01Fresh zones are untouched; tested zones have been revisited.
- 02Testing can weaken a zone.
- 03No zone is guaranteed to hold.
Educational content only. Nothing here is financial advice or a recommendation to trade. Trading involves risk of loss, results vary between individuals, and past performance does not indicate future results. Only capital you can afford to lose should be exposed to market risk.