Are We Bullish Or Bearish? The Basics Of A Trend

What You’ll Learn

• Identifying bullish, bearish, and sideways/ranging trends
  • Bullish trend: Higher highs and higher lows
  • Bearish trend: Lower highs and lower lows
  • Ranging trend: Price stuck between two key levels
• Impact of trends on trading strategy
  • Better to buy dips in an uptrend than a downtrend
  • Better to short rips in a downtrend than an uptrend
  • Adjust strategy based on trend direction
• Using Fibonacci retracements in ranging markets
  • Identifying range high/low and drawing Fibonacci from top to bottom
  • Looking to buy near range low (below 0.5 Fib) and sell near range high (above 0.5 Fib)
  • Center of range (0.5 Fib) provides least edge
• Trend changes and key pivots
  • Losing higher lows/highs or lower lows/highs can signal trend reversal
  • Failed breakouts above/below range can setup trend continuation or reversal
• Importance of identifying trend direction across multiple timeframes
  • Higher timeframe trends often dominate
  • Trends exist inside trends (e.g. uptrend on weekly, ranges/downtrends on daily inside)
• Brief intro to using EMAs to visualize trend direction and strength

The key focuses are learning to quickly identify the prevailing trend, understand its implications on trading strategy, and recognize potential changes in trend. Mastering trend analysis provides a foundation for profitable trading.

Content Chapters

0:05 –  Introduction and overview of the video
0:44 – Defining a bullish trend – higher highs and higher lows
1:25 – Defining a bearish trend – lower highs and lower lows
1:32 – Defining a sideways or ranging trend – stuck between two key levels
2:18 – Importance of identifying the trend for trading strategy
2:52 – Different trends across multiple timeframes
4:23 – Examples of trends on a chart
5:46 – Using Fibonacci retracements in ranging markets
7:25 – Discussing the strategy for trading ranges
8:38 – Analyzing a key pivot and trend change on the chart
10:40 – Identifying a new uptrend and breakout above the range
11:54 – Brief introduction to using EMAs for visualizing trend
12:55 – Reviewing the expansion and contraction of EMAs in relation to trends
13:42 – Analyzing another example of a range and uptrend on the chart
14:55 – Discussing potential long and short trades based on the trend
16:26 – Identifying a potential new downtrend and range
17:49 – Discussing the importance of understanding trends for trading
18:54 – Ability to quickly identify trends on different timeframes and assets
19:35 – Conclusion and brief overview of the next video topic