Reading charts
What is a trend in trading?
An uptrend is a series of higher highs and higher lows. A downtrend is a series of lower highs and lower lows. Anything else is a range.
Think of stairs. Going up, each step is higher than the last. Going down, each step is lower.
Trends do not move in straight lines. Price climbs, rests, then climbs again. Those rests are normal.
A trend ends when the pattern of steps breaks. Grade 5 shows how to spot that without guessing.
Go deeper, free
This is taught in Grade 5: Map the Market.
- Higher highs and higher lows define an uptrendLesson
- Lower highs and lower lows define a downtrendLesson
- Range identification: when there's no trendLesson
Words to know
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Reviewed 2026-10-04. Education only, not financial advice. Trading involves risk of loss.