Trend Lines Trading

Trendline is the most simplest & traded technical analysis gizmo in Foreign exchange trading. In this post I need to share about of the contributions of trend line. With this trading gizmo they can choose support & resistance levels of the market cost fluctuations in our foreign exchange trading chart. All they must do is draw a line above or below market cost, this line connect at least two support levels or connect two resistance levels.

As they can find in the picture above, they make a trend line connecting the resistances (one and two). Market prices tried moving close this trend line (point three). For most foreign exchange traders are usually trading this trend line to take short trading position.