Циклы движения рынка 5

Ex. 2 Translate the dialogue from English into Russian in writing and from Russian into English orally.
1. What do trend lines indicate? Trend lines indicate trend direction
2. What does a trend line join?
To draw a trend line you must join two extremes that are consecutive (and of similar magnitude).
3. In what case is a trend line not valid?
A trend line must not cut across any other price data — else it is not a valid trend line. A trend line should not be drawn just anywhere.

4. How is an upward trend line drawn?
Graphically, an upward trend line is drawn up toward the top right hand side of the Y-scale.
5. How can you idetify up trends?
There are two ways to identify up trends: look for higher highs and higher lows. Look for extreme pivot points. When joining points to produce a trend line in an upward trending market, you join the low points.
6. What does a climax followed by a retest signified? The end of a trend is usually signified by a climax (peak) followed by a retest of one of the extremes (either the high or the low) whilst it is in the ranging stage. Usually the test is of the low if the trend is moving towards a down trend and on the high if the trend is moving upward.
7. How many points does a down trend require?

• A down trend requires a minimum of four points.
• It needs a lower low (from I to 3) and a lower high (from O to 2).