#CreatorPad Sure, my friend, I'll explain.
What does Market Trend mean?
Market Trend refers to the overall direction of price movements in a financial market. Simply put, when prices consistently move in one direction, we say the market is following a trend.
There are three main types of trends:
1. 🔼 Uptrend
This means prices gradually increase. In this case:
Highs go higher
Lows also go higher
✅ Buyers (Bulls) control the market
📈 The chart has a step-like upward pattern
2. 🔽 Downtrend
This means prices gradually decrease. In this case:
Highs are lower than before
Lows also go lower
❌ Sellers (Bears) have power
📉 The chart has a step-like downward pattern
3. ⏸️ Sideways / Range
Prices neither go up nor down, they only fluctuate within a limited range.
Usually, during this time, the market is resting or waiting
Traders often wait for a breakout to determine a new direction
How do we identify the market trend?
✅ Common methods:
Through technical analysis (trend lines, moving averages, indicators like RSI and MACD)
By considering economic news and macro events
By observing trading volume and market sentiment
Sure, my friend, I'll explain.
The trend of trading volume and market sentiment