It takes at least two tops or
bottoms to draw a valid trend
line but it takes THREE to confirm a trend line.
The STEEPER the trend line you draw,
the less reliable
it is going to be and the more
likely it will break.
Like horizontal support and
resistance levels,
trend lines
become stronger
the more times they are tested.
And most importantly,
DO NOT EVER draw trend lines
by forcing them to fit the market.
If they do not fit right,
then that trend line isn’t a valid one.







No comments:
Post a Comment