What is a Trend Line in Spot Silver Investing in Technical Analysis?

The trend line is the connection between two or more lows in the rising spot silver market and the connection between more than two highs in the falling market of spot silver. The former is called the rising trend line of spot silver, and the latter is called the falling spot silver. Trendline. The function of the spot silver rising trend line is to display the support level of the rising spot silver price. Once the spot silver price falls below this line during the fluctuation process, it means that the spot silver situation may reverse, from rising to falling; spot silver The function of the downtrend line is to show the resistance of the spot silver price to rebound in the process of falling. Once the spot silver price breaks through this line in the fluctuation, it means that the spot silver price may stop falling and rise again.

1. The trend line is divided into long-term trend line, medium-term trend line and short-term trend line according to the length of price fluctuation time. The longer the time period, the higher the effectiveness of the trend line.
2. The greater the number of highs or lows connected by a trendline, the stronger the validity.
3. A brief break of the trendline is not considered to be a change in the trajectory of the price run.
4. The trend line should not be too steep, otherwise it will be easily broken through by the horizontal arrangement and lose its analytical significance.