A trend: highs and lows

Price doesn't move in a straight line. It rises, pulls back, rises again. A swing high is the place where a climb turned into a drop. A swing low is where a drop turned into a climb.

It's like climbing stairs with landings: sometimes you step back, but each landing is higher than the last. That's an uptrendUptrendA structure of movement in which each high stands above the one before it and each low stands above the one before it — higher highs and higher lows.In the glossary →. If each next landing is lower, it's a downtrendDowntrendA structure of movement in which each high stands below the one before it and each low stands below the one before it — lower highs and lower lows.In the glossary →.

Through two or three swing lows of an uptrend you can draw a straight line — a trendlineTrendlineA straight line drawn through two or more lows of an uptrend or highs of a downtrend; a sloping level the price returns to.In the glossary →. While the price is above it, the trend is alive. In the simulatorSimulatorThe section of the platform with a live chart and a virtual account: trades open and close at real prices, the money is not real, the result is counted as on an account.In the glossary → there's a “Trendline” tool for this in the drawing menu.