Trend Lines and How to Draw Them
Trend lines are perhaps the most fundamental drawing tool in technical analysis. A trend line is simply a straight line that connects two or more price points to identify the direction and strength of a trend. Despite their simplicity, drawing accurate trend lines is an art that takes practice.
Drawing an Uptrend Line
- 1Select the Trend Line tool from the left sidebar (or press Alt+T)
- 2Identify the lowest point (swing low) where the uptrend began
- 3Click on that low point to set the first anchor
- 4Find the next higher swing low — a pullback low that held above the first low
- 5Click on the second swing low to complete the line
- 6Extend the line to the right to project future support
Drawing a Downtrend Line
For downtrend lines, connect two or more swing highs (lower highs) from left to right. The line should slope downward, acting as resistance that price bounces off.
Rules for Valid Trend Lines
A valid trend line should:
- Connect at least 2 points (3+ makes it more reliable)
- Not cut through any candle bodies between anchor points
- Touch the wicks/bodies of candles — not float in empty space
- Be drawn from left to right following the chronological order
- Be at a reasonable angle — very steep lines break quickly
Pro Tip
The more times a trend line is tested (touched by price and respected), the stronger it becomes. A trend line with 3-4 touches is considered very reliable.
Warning
Don't force trend lines. If you have to move the line multiple times to make it fit, the trend line probably isn't valid. Good trend lines are obvious and connect clean swing points.
Key Takeaways
- Uptrend lines connect ascending swing lows; downtrend lines connect descending swing highs
- A valid trend line needs at least 2 touches, 3+ is stronger
- Don't force trend lines — they should connect obvious swing points
- Alt+T is the keyboard shortcut for the trend line tool
- Trend lines act as dynamic support (uptrend) or resistance (downtrend)