Trend channel strategy
Trend channel or Price channel is formed from a straight line that is in parallel with the trend line.
In particular, price will move within this trading channel. What is a trend channel? Price channel has 3 types: Ascending channel, Descending channel and Horizontal channel.
Ascending channel Bullish channel To create an ascending channel, simply draw another line parallel to the uptrend line. Then connect it to the nearest top.
If this line connects 2 tops or more, the price is active in this ascending channel. One line is support and one line is resistance.
- An object in motion will stay in motion unless acted upon by a resisting force.
- Trade with Price Channel Pattern Strategy
Ascending channel or Bullish channel Specific examples in IQ Option Ascending channel in IQ Option Descending channel Bearish channel To create trend channel strategy descending trend channel, simply draw a line parallel to the downtrend line. Then you move the new line to the nearest bottom.
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If this line connects 2 or more bottoms, the price is moving in a descending channel. One line connects the tops and one line connects the bottoms together.
Hence, if a trending market accelerates beyond the channel, you can interpret it as a sign of exhaustion. This means that when price exceeds the channel trend line, consider the possibility of a climactic move. Has the trend has exhausted itself?
The expiration time is from 15 minutes or more. The expiration time is 5 minutes.
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The expiration time is 15 minutes or more. Enter a trade in a horizontal channel in IQ Option Above are a few examples of trend channels.
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