Resistance a term used in technical analysis indicating a specific cost level at which a funds will have the inability to cross above. Recurring failure for the cost to move above that point produces a pattern that can usually be formed by a straight line. A resistance level penetrated becomes support.
Trend is basically, the general direction prices are moving, UP, DOWN, OR FLAT. Classification: Short term - less than three weeks, Medium term - three weeks to 6 months Long term [major term] over 6 to 8 months.
An up-trend line is a straight line passing through the "rising" troughs of an up-move. The importance of a trend line is increasing with every additional touching point, confirming the trend lines value. A reversal of the trend is indicated with a violation of the up-trend line.
A down-trend line is a straight line passing through him 'falling' troughs of a down-move. The importance of a trend line is increasing with every additional touching point, confirming the trend lines value. A reversal of the trend is indicated with a violation of the down-trend line.
A Neutral Trend means there is no direction.
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