Why Traders Use Trend Lines

Why Traders Use Trend Lines We are going to focus over the next few weeks, as one of our main topics, on trend lines in trading. Trend lines can give you a huge advantage, as they allow you to trade with the direction of the market, instead of against it. In this video on trading trend lines, we go over some of the key aspects that matter to you as a trader, such as drawing the trend line through the "meat" of the trade, why using trend lines to give you a directional bias is important, and how to identify a trendline that is far past a level of stability. On the last point, trend lines that are past the point of stability. When a trend line is drawn, and the move is sharp in the up or down direction, as traders who use trend lines, we have to be mindful of what this means. Unless the market is truly tanking for some unknown reason, a high angle trendline will be unsustainable.