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{"id":2881,"date":"2019-12-19T06:29:19","date_gmt":"2019-12-19T06:29:19","guid":{"rendered":"https:\/\/iqtradingpro.com\/?p=2881"},"modified":"2019-12-19T06:29:47","modified_gmt":"2019-12-19T06:29:47","slug":"what-is-trend-channel-indicator","status":"publish","type":"post","link":"https:\/\/iqtradingpro.com\/what-is-trend-channel-indicator\/","title":{"rendered":"Trend channel indicator \u2013 Definition and trading strategy in IQ Option"},"content":{"rendered":"

Trend is always a reliable guide for you to trade and make money in IQ Option. So how about trend channel? Is it important? What is trend channel and how to trade with it? After reading this article, you will know everything about this wonderful indicator.<\/p>\n

Register IQ Option and Get Free $10,000 Risk warning: Your capital might be at risk.<\/small><\/span><\/a><\/p>\n

What is trend channel?<\/h2>\n

Trend channel (or Price channel) is formed from a straight line that is in parallel with the trend line. In particular, price will move within this trading channel.<\/p>\n

\"What
What is a trend channel?<\/figcaption><\/figure>\n

Price channel has 3 types: Ascending channel, Descending channel and Horizontal channel.<\/p>\n

Ascending channel (Bullish channel)<\/h3>\n

To create an ascending channel, simply draw another line parallel to the uptrend line. Then connect it to the nearest top. If this line connects 2 tops or more, the price is active in this ascending channel.<\/p>\n

Key features:<\/strong><\/p>\n

\u2022 Including 2 upward parallel lines. One line is support and one line is resistance.<\/p>\n

\u2022 Price will move up and down between the support and resistance lines of the price channel.<\/p>\n

\"\"
Ascending channel or Bullish channel<\/figcaption><\/figure>\n

Specific examples in IQ Option<\/p>\n

\"\"
Ascending channel in IQ Option<\/figcaption><\/figure>\n

Descending channel (Bearish channel)<\/h3>\n

To create a descending trend channel, simply draw a line parallel to the downtrend line. Then you move the new line to the nearest bottom. If this line connects 2 or more bottoms, the price is moving in a descending channel.<\/p>\n

Key features:<\/strong><\/p>\n

\u2022 Including 2 downward parallel lines: Support and Resistance.<\/p>\n

\u2022 Price will move up and down between the support and resistance levels of the trading channel.<\/p>\n

\"Descending
Descending channel or Bearish Channel<\/figcaption><\/figure>\n

Examples in IQ Option<\/p>\n

\"\"
Descending channel example in IQ Option<\/figcaption><\/figure>\n

Horizontal trend channel<\/h3>\n

To create a horizontal price channel, only draw two parallel lines when the market hasn\u2019t created any trend. One line connects the tops and one line connects the bottoms together.<\/p>\n

Key features:<\/strong><\/p>\n

\u2022 Includes 2 parallel lines moving horizontally, Support and Resistance<\/a>.<\/p>\n

\u2022 Price will move up and down between the support and resistance level of the price channel.<\/p>\n

\"\"
Horizontal channel or Flat channel<\/figcaption><\/figure>\n

The meaning of trend channels:<\/strong><\/p>\n

\u2022 To trade against the main trend in the short term with high efficiency.<\/p>\n

\u2022 To confirm the sustainability of an ongoing trend.<\/p>\n

Some typical signals of trend channels<\/h2>\n

Ascending channel<\/h3>\n

HIGHER = Ascending trend channel + the price touches the support level in the ascending channel. The expiration time is from 15 minutes or more.<\/p>\n

LOWER = Ascending channel + the price hits the resistance level in the bullish channel. The expiration time is 5 minutes.<\/p>\n

\"\"
Open options in an ascending channel in IQ Option<\/figcaption><\/figure>\n

Descending channel<\/h3>\n

HIGHER = Descending channel + the price touches the support level of the descending channel. The expiration time is 15 minutes or more.<\/p>\n

LOWER = Descending channel + the price hits the resistance line of the descending channel. The expiration time is 5 minutes.<\/p>\n

\"\"
Enter a trade in a descending channel in IQ Option<\/figcaption><\/figure>\n

Horizontal trend channel<\/h3>\n

HIGHER = The horizontal channel + the price hits the support line of the horizontal price channel. The expiration time is 5 minutes.<\/p>\n

LOWER = The horizontal trend channel + the price hits the resistance line of the horizontal price channel. The expiration time is 5 minutes.<\/p>\n

\"\"
Enter a trade in a horizontal channel in IQ Option<\/figcaption><\/figure>\n

Above are a few examples of trend channels. Thank you for following us.<\/p>\n

Register IQ Option and Get Free $10,000 Risk warning: Your capital might be at risk.<\/small><\/span><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

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