What Is a Trend?
A trend is a sustained directional movement.
Uptrend
Price generally makes higher highs and higher lows.
Downtrend
Price generally makes lower highs and lower lows.
Sideways Market
Price moves without a clear directional trend.
Don’t Chase Trends
A common beginner mistake is seeing a strong move and immediately entering because:
“Price is going up.”
But strong trends can also experience pullbacks and corrections.
Your job isn’t simply to identify direction.
You need a defined method for deciding when an entry is justified.
Disclaimer
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
