In the financial markets, support levels and resistance levels are commonly used Technical Analysis tools by traders, but how can these key positions be accurately identified? Let us delve into the support and resistance levels within the volume-price system.

The support level actually represents the area of demand in the market. At these positions, the main funds often carry out accumulation operations. By observing the appearance of vertical demand columns, we can clearly understand the dynamics of market demand, and thus locate key support levels through changes in demand.

Correspondingly, the resistance level is the supply area of the market, which is usually the position where the main funds choose to take profits. Similarly, we can identify the existence of resistance levels by recognizing vertical distribution zones.

It is worth noting that both support levels and resistance levels should not be simply understood as a fixed line or a certain golden ratio point. They actually reflect the real supply and demand changes in the market. Only by deeply analyzing the changes in supply and demand can we interpret the market more accurately, which is also the analysis method that is closest to the essence of the market.

In actual trading, mastering these concepts is not about finding the so-called "perfect entry point", but rather about better understanding market structure, assessing risk, and formulating reasonable trading strategies. Remember, the market is dynamically changing, so our analysis should also remain flexible and adaptable.

By systematically studying and practicing methods such as the Wyckoff trading theory, traders can gradually build a deep understanding of the market and improve their trading skills. Continuous learning and experience accumulation are crucial for achieving success in the fast-changing financial markets.