On of the most valuable tools of the technician. A straight line that connects at least 3-consecutive peaks or troughs. A trendline acts as support in an up-trend and resistance in a downtrend A break of a trendline usually signals a corrective phase or consolidation phase is likely to occur.
In technical analysis, a trendline is a line that connects specific points of price action in order to identify the direction of the market. The longer the trendline has been in place, tested but not broken, the more significant the trendline. Trendlines are used to identify the following characteristics about trends: direction of the trend trend reversals trend continuation support and resistance General theory is that once a trendline is penetrated it is a signal for a consolidating market and, depending on what happens after that, a possible change in trend.
Drawing a line that connects any two or more lows or highs on a chart.
A straight line in technical analysis that connects a series of chart low points to define an uptrend or a series of chart high points to define a downtrend. The breaking of a trendline usually signals a trend reversal.
A straight line drawn to connect significant high or low prices of a security or index. If the security is advancing the low prices are used to construct the line (uptrendline). If the security is declining, high prices are used to construct the line (downtrendline). The theory is that a violation of the trendline shows a change in trend. Eg, if price has been advancing & then drops below the trendline, it is a sign that a trend change from up to down may be imminent. The weakness in trendlines is the subjectivity of deciding which high or low prices should be used to connect the lines. This is one of many areas at which the art & science of technical analysis meet.
Technical analysis formation created by drawing a line connecting a series of descending tops, descending bottoms, ascending tops or ascending bottoms.
Trendlines graphically illustrate trends in data series. Trendlines are commonly used when you are charting problems of prediction, also called regression analysis. Back to the top
Trendlines graphically illustrate trends in data series. They are commonly used when charting problems of prediction, a process also called regression analysis. Back to the top
a line drawn on a price chart representing the basic direction of the market
a line that is drawn between two or more points on a price chart
a main initial element for the price chart analysis
a regression line calculated automatically by Excel and added to a scatter diagram
a sloping line drawn between two prominent points on a chart
a straight line that connects specified prices for a price series
a straight line that plots the general direction of a currency in order to help predict future price levels
A technical chart line that depicts the past movement of a security and that is used in an attempt to help predict future price movements.
A line that connects a series of highs or lows. The trendline can represent support in an uptrend or resistance in a downtrend. Horizontal trendlines mark support-resistance and rangebound conditions. triangles -- A related set of common 3-sided congestion patterns.
A line on a chart that connects a series of higher highs or lower lows. At least two points are needed to draw a trend line. The more often it is tested and the greater the volume on the tests, the more important the trend line.
Constructed by connecting a series of descending peaks or ascending troughs. The more times a trendline has been touched increases the significance of a break in the trendline. It can act as either support or resistance.
A line which is drawn through successive maximum price movements, i.e., through a series of two or more successively lower peaks (downtrend) or successively higher troughs (uptrend). Trendlines can also be drawn through the close. The more instances of contact, the more the line is reinforced.
A tool used by technical analysts to trace a security's movement by connecting the reaction lows in an upward trend or the rally highs in a downward trend.
In charting, a line drawn across the bottom or top of a price chart indicating the direction or trend of price movement. If up, the trendline is called bullish; if down, it is called bearish.
A chart used by technical analysts. A line is drawn by connecting the highest or lowest prices to which a security has risen or fallen within a period. The line's angle shows whether the security is in a downtrend or an uptrend. If the security's price rises above a downward sloping line or drops below a rising uptrend line, analysts believe the security will start to move in a new direction. See: Chartist; Technical Analysis
Lines that are drawn on a chart that link a series of high points (downtrend or bearish) or low points (uptrend or bullish). Can be either short, medium or long term, history has shown that relatively more reliance can be placed upon longer term trends compared to shorter term trends, and in many trade suggestions we will identify the trends that we feel are relevant. When considering whether to enter a trade we suggest that you satisfy yourself that the trend has been maintained. If the trend that the suggestion was based upon has been broken then the suggestion may no longer be valid, for example; we may feel that a stock is holding an uptrend and is therefore likely to increase in value if it reacts positively when it reaches that level however failure to maintain this trend can indicate that the anticipated movement can no longer be relied upon with any degree of certainty and therefore additional confirmation should be sought prior to entering on the basis of the original published criteria.
A line connecting two or more points on the chart, defining the trend over the chosen timeframe. A rising trendline connects the low (within a chosen timeframe) to later lows that occur before the highest price within that timeframe and without cutting through previous price plots.
A line drawn that connects either a series of highs or lows in a trend. The trendline can represent either support as in an uptrend line or resistance as in a downtrend line. Consolidations are marked by horizontal trendlines.
A line on the price or value chart of a security depicting the general direction the security is headed. Here is an example of an upward trendline
A trendline is a straight line drawn on a chart through or across the significant limits of any price range to define the trend of market movement. (See more information about Trendlines).
See on: Investopedia A line on the price or value chart of a security depicting the general direction in which the security is headed.
