How do I draw a proper trendline and channel

Beginner Questions
1

Hey guys, so I have been doing a lot of reading on forex education, now I’m @ trend lines and channel. I’m abit confused on how to draw a proper trend line without
trying to make the line fit the market. Any tips or advice will be appreciated.

2

there conflicting peopel that say diffferent things, draw a line between two peaks of price, some people do end of wicks some do candle closes. then when the 3rd hit on the trend line has hit it becomes a valid trend.

3

Try asking YouTube the same question

4

As has been suggested, 3 prices that line up make a line. However, this isn’t engineering, don’t expect exact hits on the line, there will always be slight discrepancies. the line is not so important because of where it lies to the 4th or 5th decimal place, it is important because when price gets near it again, players in the market make decisions about their trades. They don’t always decide to do what the text books say price should do.

As some say, for these lines, use a crayon, not a pencil.

5

There are several different approaches to be applied. The most common are the following:

  • drawing through the highes/lowest points, even it was just a shadow of the candle.
  • drawing through the highels/lowes closing prices ingoring the shadows.
  • drawing through the candles higlighted bu the high volume (at least 3x higher than average) believing that this approach will help to avoid false formations.
  • drawing trendlines from right to the left (as the opposite to usual way of drawing left to the right). The traders who use this way think that latest prices are more important than the previous ones.

Anyway, you should try different ways and find something that wil work best according to yuor strategy.

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6

Thanks guys, I will take all you have said into consideration. @tommor what do you mean by use a crayon not a pencil?

7

I mean something that makes a very thick line.

8

Okay, well noted

9

Do not be hostile to the trend, because it will only make you tired in trading, even leading to destruction. You can never beat the market.

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