Trend in Channel

Trend in Channel is not an ordinary forex channel. This corridor is built on the basis of the analysis of several candles, starting from the last one, as a result of which the extremums of the studied interval are determined. It is they who create the channel lines. It, like all channels, has a middle line as well as a high and low line. This channel is worth attention because of its unusual behavior. The use of the Trend in Channel indicator allows the trader to respond in time to the price going beyond the boundaries of the channel set for it. Channel trading is one of the most popular forex strategies, its simplicity allows even beginners to use this trading option.

Whichever chart you open, you will always see various pullbacks and twisty charts. The thing is that according to many theories, the price always tends to balance after strong fluctuations in different directions. The price is in its trend movement in a certain range, and not a chaotic spread of the price is not clear in what direction. And if the price deviates in a certain range, then this means that the boundaries of these ranges are support and resistance lines and form a channel. During these fluctuations, channels are obtained that are so often used by technical analysis and what is implemented in this indicator.