What are trend line strategies in financial trading?

Trend line strategies are like drawing arrows on a graph to see where prices might go next.

Imagine you're playing with building blocks, some go up, some go down, and some stay the same. In trading, people use trend lines to draw what they think is happening with the blocks (or prices). A trend line is like a straight path that shows if prices are going up or down over time.

If you see prices rising, you might draw a line under them, this is called an upward trend. If prices are falling, you draw a line above them, this is a downward trend. Traders look at these lines to guess where the price might go next.

It's like when you're trying to figure out if your friend will take the long way home or the short one. If they've taken the long way three times, you might bet they'll do it again. Traders use trend lines the same way, to help them decide whether to buy or sell something.

Sometimes, prices bounce off a trend line like a ball hitting a wall, this is called support (for upward trends) and resistance (for downward trends). That gives traders more clues about what might happen next.