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Academy/Analysis 101/The Trend is Your Friend
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Lesson 2 of 3

The Trend is Your Friend

Up, down, or sideways

Don't swim against the current.

Uptrend: Higher highs and higher lows. The chart looks like a staircase going up. --> Strategy: Buy the dips.

Downtrend: Lower highs and lower lows. A staircase going down. --> Strategy: Stay away or short sell.

Sideways: Price is stuck in a range. --> Strategy: Buy low, sell high within the range.