An uptrend is marked by an overall increase in price. Nothing moves straight up for long, so there will always be oscillations, but the overall direction needs to be higher in order for it to be considered an uptrend. Recent swing lows should be above prior swing lows, and the same goes for swing highs. Once this structure starts to breakdown, the uptrend could be losing steam or reversing into a downtrend.
Downtrends are composed of lower swing lows and lower swing highs. While the trend is up, traders may assume it will continue until there is evidence that points to the contrary. Such evidence could include lower swing lows or highs, the price breaking below a trendline, or technical indicators turning bearish.
While the trend is up traders focus on buying, attempting to profit from a continued price rise.
When the trend turns down, traders focus more on selling or shorting , attempting to minimize losses or profit from the price decline. Most not all downtrends do reverse at some point, so as the price continues to decline more traders begin to see the price as a bargain and step in to buy. This could lead to the emergence of an uptrend again. This form of analysis looks at changes in revenue, earnings, or other business or economic metrics.
If earnings have grown for the past four quarters, this represents a positive trend. However, if earnings have declined for the past four quarters, it represents a negative trend. The lack of a trend—that is, a period of time where there is little overall upward or downward progress—is called a range or trendless period.
A common way to identify trends is using trendlines, which connect a series of highs downtrend or lows uptrend. Downtrends connect a series of lower highs, creating a resistance level for future price movements. In addition to support and resistance, these trendlines show the overall direction of the trend. While trendlines do a good job of showing overall direction, they will often need to be redrawn. For example, during an uptrend, the price may fall below the trendline, yet this doesn't necessarily mean the trend is over. The price may move below the trendline and then continue rising.
Creating a time series
In such an event, the trendline may need to be redrawn to reflect the new price action. Trendlines should not be relied on exclusively to determine the trend. Most professionals also tend to look at price action and other technical indicators to help determine if a trend is ending or not.
The following chart shows a rising trendline along with an RSI reading that suggests a strong trend. While the price is oscillating, the overall progress is to the upside. The rising trend begins to lose momentum and selling pressure kicks in. The RSI falls below 70, followed by a very large down candle that takes the price to the trendline. The move lower was confirmed the next day when the price gapped below the trendline.
These signals could have been used to exit long positions as there was evidence that the trend was turning. Short trades could have also been initiated. As the price moves lower, it starts to attract buyers interested in the lower price. Another trendline not shown could also be drawn along the falling price to indicate when a bounce may be coming.
That trendline would be have been penetrated near the middle of February as the price made a quick v-bottom and progressed higher. Technical Analysis Basic Education. Advanced Technical Analysis Concepts. Seller Inventory ZZN. More information about this seller Contact this seller. Paperback or Softback. Tendencies - P.
Seller Inventory BBS Language: English. Brand new Book. Seller Inventory AAC Book Description Duke University Press, New Book. Shipped from UK. Established seller since Seller Inventory CA Book Description Duke University Press. Brand New. Seller Inventory Book Description Paperback.
Tendencies brings together for the first time the essays that have made Eve Kosofsky Sedgwick the soft-spoken queen of gay studies Rolling Stone. Combining poetry, wit, polemic, and dazz. Shipping may be from multiple locations in the US or from the UK, depending on stock availability. Items related to Tendencies Series Q.
Tendencies Series Q. Eve Kosofsky Sedgwick.
Eve Sedgwick Tendencies PDF | Philosophical Movements | Lgbt
Publisher: Duke University Press Books , This specific ISBN edition is currently not available. View all copies of this ISBN edition:. Synopsis About this title Tendencies brings together for the first time the essays that have made Eve Kosofsky Sedgwick "the soft-spoken queen of gay studies" Rolling Stone. From the Back Cover : "Because of the polymorphousness of its disciplinary perversity, "Tendencies, " taken together with Sedgwick's two previous books, virtually defines the new field of queer studies.