According to this article there are reactive levels and proactive levels. So, till now i have been using reactive levels. Proactive levels when happen are shown by weakening price action in that area(tails, slowing of momentum, overlapping).
I have my if-then statements ready for a situation and if it happens my way then i would trade. So isn't that proactive ?
I understand that proactive levels should be used only as confirmation to price action, but how advantageous adding them to our strategy would be? or everything we need to know to trade is in plain chart and we don't need to add these ?
Which of the following proactive levels would be an effective addition ?
1. Trendline.
2. EMA.
3. Fibonacci.
4. Pivot levels.