When Does a Stock Upward Trend Start?

Course Tutorial: Steps to Identify a Beginning Upwards Trend with Indices Examples

Example of How to Know When a Up Indices Trend is Starting - When Does a Upward Trend Start

The trend is your friend. Is a popular saying among traders because you should never go against the trend when trading indices. This is most reliable technique to trade Indices because once stock prices start to move in one direction they can continue to move in that particular direction for quite some time - therefore using this trend method presents opportunity to make profits from the Indices Trading market.

Principles of How to Draw Up-ward Trendlines

1. Use candle stock charts to draw trend lines

2. The points used to plot the trendline - up-ward trendline are along the lows of the stock price bars in a bullish stock market. An upwards bullish trend is defined by higher highs & higher lows.
3. The points used to draw the trend lines are extremes points - the low price. These extreme stock price points are important because a price close beyond the extreme tells traders the upward trend of the indices instrument may be changing. This is an exit signal.
4. The more often an upwards trendline is hit but not broken, the more powerful its upward trend signal.