Forex Trendline Trading Strategy
Most traders think that drawing trend lines is all about connecting various highs
and lows. Without proper knowledge & experience, you would see them
everywhere, however not all trend lines should be considered. If you follow the guidelines to drawing good trend lines, there is a high chance that the price will
respect your trend line and get repelled by it, or it will break through the trend line resulting in a massive and profitable move.
Let’s start with some basics.
With below chart i think you know…it is uptrend
Then this line will be downtrend
and for this line will be sideways
Rule to draw forex trendlines
draw to at least 2 touching points using trendline tool on the chart. If you can find 3 to 5 touching points, then it will be a good trendlines.
3 Touching Points On Uptrend Movement
5 Touching Points On Downtrend Movement
That’s all, it simple right?
If you want to explore more on how to draw forex trendline trading strategy, you can download this ebook of understanding the myths of market trends and patterns.
In the ebook you will learn on how to trade forex chart patterns by using trend lines only. The forex chart pattern such as, Triangles, Flags and Wedges. It is in pdf format and is it FREE to download.
Good Luck! Share this if it benefits you a lot!!