PowerStrike is the latest offering by John Slauson, the creator of ICE™. It is a completely unique MetaStock add-on in that it determines support and resistance based on three phenomena of the market:
- Stock prices are heavily influenced by trading near option strike price levels. These levels greatly influence where important buying and selling occur.
- Support and resistance is based on the concentrated buying and selling of influential traders.
- The human mind gravitates towards memorable, easy-to-remember numbers. These values are typical of option strike prices. Hence many traders’ attention is drawn to these numbers providing the potential for even more “concentrated” buying and selling.