What Is The Trend In Forex Trading. The basic concept of trends (trend) is a very basic things in various markets analysis based approach to technical analysis. All tools are used such as chartist support and resistance levels, price patterns, moving averages, trendline, etc. Everything is the same, namely to assist goal in measuring trends that are going on in the market, in order to participate in those trends. You may often hear terms such as "always trade in the direction of the trend", "never buck the trend", or "the trend is your friend".
This short paper try peeling and defines what is a trend and classifying it in several categories. When viewed in General, the trend is a movement of which way the market moves. But other than that we need a more accurate definition to be able to make use of them in technical analysis.
You need to remember is a price movement did not form a straight line into one direction. The market moves in the form of a series of zigzag. This Zigzag movements form a series of successive waves, with peaks (peak/top) and "effluent" (through) that is quite clear. Peak direction and through it that would later define a market trend that is going on. While the Peak and Through this moving up, down, or sideways (sideways). On the direction of the movement that would later tell us about market trends.
An ascending trend (uptrend) is defined as the set of sequences of peak and through the ascending.
While the downward trend (downtrend) is the opposite, namely a series of peak and declined, through the following images from downtren.
There is also a series of peak and through which tend to be referred to as sideways sideways/ranging.
Hopefully the explanation of this trend of understanding can add your insights in the world of forex.
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