Trend Lines ( Basics of trading )






At first glance it may seem that the price is moving chaotically up or down on the chart. However, if you look closely you will see that it always has a direction, and a continuous nature. Thus, we know that the price is moving in a trend. Thus, the price moves in a trend.

          Trend is the direction of price movement.
Understanding current trends will help you make the right trading decisions.Trend lines connect the highest or lowest price points on the chart.

         We will discuss the movement of charts or trends in the trading section,
in trend category trading there are three parts:


  • Uptrend

          Literally, this trend shows price movements that tend to rise. In the investment world you may have heard the term bullish which also means rising price movements










  •  Downtrend

           The opposite of an uptrend, a downtrend is a trend of trading price movements in the market that shows a downtrend. The forex trading strategy that you can do is to determine the highest point (Resistance) and make a decision to sell forex or make a buying decision when the price is at the lowest point (Support).










  •  Neutral

           For a neutral position in trading indicates that the price remains the same or the chart does not rise and does not fall the candle will be at a stable point.










The general rule of trading is to buy in an uptrend and sell in a downtrend.


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