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Technical Analysis

Trendline

A line connecting swing highs or lows to visualize the trend.

Full Definition

A trendline is a straight line drawn on a chart connecting significant price points. Uptrend lines connect higher lows; downtrend lines connect lower highs. Trendlines act as dynamic support or resistance. The more touches a trendline has without breaking, the more significant it becomes. Breaks of major trendlines often signal trend changes.

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