Trendline Drawing Rules

Precision, Accuracy, and Professional Execution

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Rule 1: Identify Correct Swing Points

A trendline must always connect valid swing points in the market.

• Uptrend → Connect Higher Lows
• Downtrend → Connect Lower Highs

Wrong swing points will create a wrong trendline and lead to bad trades.

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Rule 2: Minimum Touch Requirement

• 2 touches → Valid trendline
• 3 touches → Strong trendline
• 4+ touches → Very powerful level

More touches increase the strength of the trendline.

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Rule 3: Wick vs Body Consistency

Choose one method and stay consistent:

• Wick to Wick → More accurate (preferred)
• Body to Body → Conservative approach

Mixing wick and body randomly creates inaccurate trendlines.

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Rule 4: Do Not Force the Line

The trendline should naturally connect points. Never adjust it forcefully to fit candles.

Forced trendlines are one of the biggest reasons for trading losses.

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Rule 5: Angle Matters

• Steep angle → Weak trend (can break quickly)
• Moderate angle → Healthy trend
• Flat angle → Slow movement

Strong trends usually move at a stable angle, not too steep or too flat.

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Rule 6: Break and Retest Logic

A trendline break does not mean immediate entry.

• Wait for breakout
• Wait for retest
• Confirm with rejection candle

Break → Retest → Entry is the safest and most professional approach.

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Rule 7: Avoid Noise (Lower Timeframes)

Lower timeframes can create false trendlines due to market noise.

• Use 15m or higher for accuracy
• Use 3m/5m only for entry

Always draw main trendlines on higher timeframes.

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Professional Insight

Trendlines are not just lines. They represent market psychology, where buyers and sellers react repeatedly.

A clean and accurate trendline can improve entry precision and reduce risk significantly.

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Next Page: Trendline Channels and Parallel Structures