FOREX TRENDS LINES

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The first search for trend-lines should begin on the weekly timeframe. Once phase 2 + 3 have been completed, a

deeper insight into the trend direction should be established which will assist with the directional bias in which to draw the

trend-lines. Once satisfied with the weekly chart (stick to one or two lines) then scale down to the daily timeframe for further application. Keep the lines as neat as possible, extending them into the future as trend-lines also act as a sentiment guide. In this case on the AUD/USD the sentiment was extremely bearish, however the daily (blue) trend-lines have been broken to the upside after the support level holding. Current price is floating above the weekly (black) trend-line and if the pair decides to continue to the upside then we may have a bullish reversal on our hands!

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