Channels

To draw a first channel should first draw the trend line and another line parallel trazaremos following the bullish or bearish trend.

To draw a bullish channel must draw the lines for the same angle as having an upward trend from a peak to valley. Logically we can do this while creating the trend line.

To draw a bearish channel must draw the lines for the same angle as having an upward trend from a peak to valley. Of course this can be done at the same time we believe the trend line.

We must draw the correct channel as the channel will give us information about the trend, such as points of purchase, end points, as we said that a trend confirmed at this time we can establish short-range trend , medium or long term following the main trend.

Areas of Sell and Buy

Bullish Trend



As we see in the chart that the prices touched the bottom of the channel in an uptrend will be purchasing items, and items where prices touched the top of the canal will be points of sales, these items can also be used points to a closing position.

Bearish Trend



In the case of a bearish trend we see in the chart where prices touch the upper part of the canal will be points of sales, and price points that touched the top of the canal will be points of purchase, these items also can be used as points of closing a position.

And one important thing that you should follow, not to go against the trend, but follows the trend set.