[Soultrader]

I dont think its incorrect. John Murphy has taught me alot of things as well.

But I do think those levels should be considered as levels to look for besides your main analysis. For example, I use pivots, previous days high/low, open gaps, and market profile. However, I do still look at pyschological levels of 14700, 14800, 1900, etc... (anything ending with 00)

Try identifying more levels that other traders may be watching. If only a small percentage of traders are watching your support level, there is a chance it will not hold.

Since I do not trade stocks, it would be difficult to recommend any trading methodology for you. But you should definitely look into various techniques that are used to derive support and resistance levels. My old mentor used moving average clusters and used it very effectively trading the ETF's. Some traders use fibonacci clusters. But they are also aware of other levels apart from their main methodology like the pyschological levels of 1/2 dollar, etc...