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Trend is simply, the overall direction prices are moving, UP, DOWN, OR
The direction of trend is absolutely essential to trading and analyzing
In the Foreign Exchange (FX) Market it is possible to profit from UP and
Down movements, because of the buying of one currency and selling against
the other currency e.g. Buy US Dollar Sell Japanese Yen ex. Up Trend
The basic trendline is one of the simplest technical tools employed by
the trader, and is also one of the most valuable in any type of technical
trading. For an up trendline to be drawn, there must be at least two low
points in the graph where the 2nd low point is higher than the first. A
price low is the lowest price reached during a counter trend move.
TREND, ANALYSIS AND TIMING
Markets don't move straight up and down. The direction of any market
at any time is either Bullish (Up), Bearish (Down), or Neutral (Sideways).
Within those trends, markets have countertrend (backing & filling)
movements. In a general sense "Markets move in waves", and in order
to make money a trader must catch the wave at the right time.
Drawing Trendlines will help to determine when a trend is changing
Trendlines show support boundaries underprices. These boundaries
may be used as buying areas.
Temporary trendline penetrations are not as significant as a close beyond