Trendlines are used to mark and connect resistance and support levels in a currency chart. Trendlines are a powerful tool for identifying price trends in different time frames.

1. Higher highs indicate an upward trend.

2. Higher lows indicate support in an upward trend.

3. Lower lows indicate a downward trend.

4. Lower highs indicate resistance in a downward trend.

◐ Trendlines show the path of least resistance.

◐ When a trendline breaks, new extremes are created.

◐ A trendline breakout may indicate a reversal of the current trend's direction shift.

◐ A trendline breakout may also indicate a correction in the current trend or that a new trend has begun.