In Simple Terms, An uptrend is a series of Higher Lows (Yes, Higher Highs are not mandatory for uptrend) & a Downtrend is a series of Lower Highs in that particular Timeframe (its Important).
Here is a simple method to Identify a Trend Change in any Timeframe. Look at the Picture below:
A Downtrend is in place before the Blue line. When this Blue line breaks, Downtrend ends, but Uptrend doesn't Begin. So its a NO TRADE ZONE.
When the Price makes a new Pivot High breaking the previous Pivot High, it confirms the Uptrend
That's it. Now, if you really want to understand, Practice by looking at atleast 50 charts and see the trend change.
Remember, a chart or chart pattern will never look same as seen earlier!!
Here is a simple method to Identify a Trend Change in any Timeframe. Look at the Picture below:
A Downtrend is in place before the Blue line. When this Blue line breaks, Downtrend ends, but Uptrend doesn't Begin. So its a NO TRADE ZONE.
When the Price makes a new Pivot High breaking the previous Pivot High, it confirms the Uptrend
That's it. Now, if you really want to understand, Practice by looking at atleast 50 charts and see the trend change.
Remember, a chart or chart pattern will never look same as seen earlier!!
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