Trend trading is a trading principle followed in financial transactions such as stocks, futures and foreign exchange. In the futures market, the trend is the direction of futures price movement, and there are three types of trends: major trends, minor trends and short-term trends.

Trend:

1, that is, the development trend of things or situations is the future development direction of things or situations.

In a price movement, if its peaks and valleys are higher than those of previous times, it is called an upward trend; On the contrary, if it contains peaks and valleys below the front, it is called a downward trend; If the back peaks and valleys are basically equal to the front peaks and valleys, it becomes an oscillating trend, or a sideways trend, or no trend.

2. In the technical analysis method, the concept of trend is definitely one of the core contents. Most analytical tools used by technical analysts, such as support and resistance levels, price patterns, moving averages and trend lines, are used to assist in estimating market trends in order to trade in the direction of trends. In the market, "always follow the trend" and "the trend is your friend" have become the rules that most traders always remind themselves to abide by. Trend trading method has been widely used at home and abroad, between professional investors and non-professional investors, and achieved good results.