The downtrend

The same rule turned upside down: lower highs and lower lows. Plus what to expect on the chart once a trend breaks.

A downtrend is the mirror image of an uptrend. Same reading, same order, opposite direction.

The definition

A downtrend is two things at the same time. Each new high is below the previous high, and each new low is below the previous low.

Shortened on a chart, those are lower high and lower low, written LH and LL.

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