2. Locating Swing Highs and Lows: Identify significant swing highs and lows where price reversals occur. Connect these points using straight lines to establish the primary trend direction. 3. Confirming Trend Continuity: Look for multiple touchpoints along the trend line to confirm its validity. Th...
If a market is trending lower, we want to pay close attention to the recent swing highs, and in an uptrend we will focus on the recent swing lows. We do this because it not only shows us the overall trend, but it also shows us via the price action if the trend is still i...
To make analysis easier, Tektronix MDO/MSO oscilloscopes show logic lows as blue and logic highs as green on the digital waveforms, allowing you to see the logic value even if a transition is not visible. The waveform label color also matches the probe color-coding to make it easier...
Trend lines are drawn horizontally or diagonally. The basic trend line will connect the lowest lows on the candlestick or bar charts from left to right and the same applies for connecting the highs. Not every candle will touch the trend line. The objective is to connect the lowest and highes...