In this section we'll show you how this course has been structured and how to get the most out of it. We'll also show you how to solve the exercises and submit quizzes.
The higher lows of an uptrend or the lower highs of a downtrend can be connected through a line known as a trendline. A minimum of 3 points needs to be connected to form a trendline. The slope of the trendline should be between 15 degrees to 30 degrees for it to sustain for a more extended period. If the slope is more than 30 degrees, the momentum can’t be supported by price action.
Trendline serves a dual purpose – continuation and reversal. A trader initiates a long trade whenever the currency pair touches the trendline. Likewise, when the trendline breaks, it indicates a trend reversal, which indeed leads to a significant selloff.