Trend line (technical analysis)

It is formed when a diagonal line can be drawn between a minimum of three or more price pivot points.

Trend lines are commonly used to decide entry and exit timing when trading securities.

Trend lines are a simple and widely used technical analysis approach to judging entry and exit investment timing.

When establishing trend lines it is important to choose a chart based on a price interval period that aligns with your trading strategy.

Short term traders tend to use charts based on interval periods, such as 1 minute (i.e. the price of the security is plotted on the chart every 1 minute), with longer term traders using price charts based on hourly, daily, weekly and monthly interval periods.