Buyer and seller zones on Forex (also known as support and resistance) are key price levels where there is a significant accumulation of buy or sell orders. These zones can indicate areas where the price may slow down, reverse, or continue a trend depending on market participants' behavior.
The buyer zone (support) is a price level where the demand for a currency is high enough to prevent the price from falling below this level. Buyers are active in this area, creating demand, which may lead to a potential price rebound upward.
The seller zone (resistance) is a level where the supply of a currency exceeds the demand, hindering further price growth. Sellers are active in this area, creating supply, which may lead to a reversal or a slowdown in growth.
Traders often use these zones to enter or exit the market as they can signal potential reversal or trend continuation points.