What is the trend line?

It is located on the Price Price, Trend Line or Trend Line, predicts the general direction in which the security is leading - whether it is an index, commodity or stock -. The direction of the direction of the direction direction up or down is determined by connecting the lowest or highest price points that has achieved security in a given period of time. For example, the trend line could be applied to a graph that shows the juror in the country over time. However, trendlies are most often discussed in conjunction with securities. Direct or balanced trends sometimes monitor the period of initial activity when safety first hit the market. It is considered a primary or main trend. Ascending primary trends are referred to as "bull markets" and the primary trends down are referred to as "bear markets". When the trend line turns against its primary direction of trend for three or more weeks, ie Spike during the bear market or a sharp drop in the bull market, it indicates an intermediate or secondary trend. WhenThe trend line varies in a short period of time, from about six days to three weeks, reflects a smaller trend.

"playing" Trend usually includes analysis of the trend line and the decision to invest before or after breaking the trend line. Playing intermediate movements that monitor the direction of the basic main trend is generally considered to be a much safer method for technical analytics - safer than playing small movements of trends.

There are different signals that indicate when the trendy line of the bee is broken. The presence of a pattern or significant shift in the price of security usually indicates a turning point of transient or main trend. However, investors, instead of today's final price, usually ignored the trend breaks.

Although trend lines are a popular tool for technical analysis, they are not the only tools that investors rely on investment decisions. Trendlies are often analyzed SPOlu with other safety indicators such as formulas continuation and conversion.