‘Is my method for identifying support and resistance accurate?’

To determine if your method for identifying support and resistance levels is accurate, consider the following guidelines:
Historical Data Review: Analyze the historical price movements to see where the price has consistently turned back. These points are usually strong indicators of support and resistance.
Multiple Touch Points: Effective support and resistance levels should have multiple touch points. This means that the price has tested these levels several times, reinforcing their validity.
Volume Analysis: Observe the trading volume at these levels. High trading volume near a support or resistance level can indicate strong market sentiment about that price point, adding validity to the level.
Time Frame Alignment: Ensure that the time frames you are using for support and resistance align with your trading strategy. For instance, short-term traders might focus on intraday charts, while long-term investors might look at weekly or monthly charts.
Trend Identification: Support and resistance levels work differently in trending markets than in ranging markets. In uptrends, old resistance levels can become new support levels and vice versa.
Price Action Signals: Look for confirming price action signals, such as candlestick patterns, that occur at these levels. Reversal patterns like pin bars or engulfing patterns can add confidence.
Technical Indicators: Use additional technical indicators, such as moving averages or Fibonacci retracement levels, to corroborate your support and resistance lines.
Reassessment Over Time: Support and resistance levels can change over time. Regularly reassess and adjust them based on the latest price data to reflect market dynamics accurately.

By focusing on these aspects, you can refine your method for identifying support and resistance, increasing the reliability of your trading decisions.