If you are an active trader and you use trading software that does not
have a moving trend line indicator, you will need to learn the skill of
drawing correct trend lines—with correct being the operative word. An
incorrectly drawn trend line can mean the difference between making and
losing money on a trade. Drawing trend lines is a skill that can be taught,
but I think it is always best to have an automated trend line indicated on
your software to keep up constantly with the trends you want to monitor.
In this chapter, we focus on finding, drawing, and monitoring three
trend lines:
1. An inner trend line
2. An outer trend line
3. A long-term trend line
These Three trend lines form on all time frames and in both uptrends
and downtrends