1. The upwards sloping trend line was broken, and we got a signal… — Ak learn Candlesticks Charts & Patterns — TG.ME

1. The upwards sloping trend line was broken, and we got a signal that the market might have turned bearish. 2. On the other hand, if we relied solely on the formation of a valid pivot high to indicate a change in market bias, we would have detected a change in bias later. Trend lines also make up for a shortcoming of using valid pivots to judge the market bias. Trends can reverse without forming any valid pivots in the opposing direction. For instance, a bull trend can turn bearish without forming a valid high. In such cases, the break of a bull trend line will alert us to the trend change. Other than indicating reversals, trend lines also act as support and resistance. Some of the best trades are bounces off trend lines. On top of that, the slope of a trend line tells us the