Trend Channel
These channels are defined as useful devicesin the world of Forex trading as the proper analysis can assist you in properly determining where the entry and exit point of your trade should be. Even if the daily trend lines have the ability to show the waythat the cost is shifting, this channelpermitsyou to notice clearly where the finance is dealingat that specific point when comparedto the whole direction and trend. If you have a look at the graph or on a histogram of several trend lines and make a line along the top part of trend line and other line at the lowest of trend line, which layunder the low points, the area between two lines characterized by historical lows and highs will be regarded as trend channel. If for example, you are at the top position of the channel for trading on the top resistance line, then the offered channel nature is probably that the down trend is looming, making it a better place for exit cost.