What are Market Trends?

Trends and Momentum will be your best friends in trading, when you know how to read them and spot what the changes are.

Here is the breakdown of Market Trends:

beginning:middle:end

Strong trend going up – you see a run going up, and then a retracement going down. This is what regular trends look like.

strong trend

Trend going down, with a huge slowdown.

down trend:consolidation

Slowdowns (also knows as sideways movement, transition areas and/or consolidations) stop the trend it can either go in a new direction or after some time continue in the same direction. This particular trend slows down and then changes to the up trend.

Slowdowns, sideways movement, consolidation, transitions can be deadly for traders. That is why it is CRUCIAL to know what you are doing when you have reached one. And they are also the place where you learn when NOT to trade.

Happy Trading,

About Marina Kuperman Villatoro

Marina Kuperman Villatoro CEO of The Trader Chick and has been day trading for years. Day trading isn't only a job. It's a lifestyle. It's a way of life and a transformational journey. All you need is a trading plan, the right mindset, your laptop and the desire to work 2-3 hours a day so you can have the time to spend with your family, travel, have fun with your hobbies or simply indulge in the finer things in life (quilt free). My main goal is to show how life transforming day trading is, even spiritual and to remove the stigma and fear that is wrapped around it. I recommend by starting your journey with my FREE mini course - Simplifying Day Trading where I take you from Ground Zero to having confidence in understanding the markets.
This entry was posted in Chart Review, Day Trading. Bookmark the permalink.

Leave a Reply

Your email address will not be published. Required fields are marked *

CommentLuv badge