List of Financial Market Terms

A trend channel is simply sideways trending in a stock. It can be viewed as the technical range between support and resistance levels that a stock price has traded in for a specific period of time via day trading system, option trading systems, and/or future trading systems.

There are several channels seen in day trading and stock trading throughout a given period of time, meaning this is a common occurenceA breakout of a technical channel can bee seen as bullish (upward breakout) or bearish (downward breakout) signals.

Here's a shot of a trend channel in NKE pulled strate for the Live Trading Room.

trend channel in nike stock

Related terms: Dow theory, uptrend, downtrend, primary trend, secondary trend, and minor (short term) trend.


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