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This line acts as "dynamic resistance." As long as the price stays below this line, the downtrend is intact. 2. Moving Averages (MA) Basic concepts of trend - Fidelity Investments

A downtrend is a market phase where the price of an asset consistently moves lower over time. It is visually and structurally defined by: Each peak is lower than the previous one. This line acts as "dynamic resistance

To confirm a downtrend, you must see the "staircase" pattern moving down. 1. Drawing Trendlines This line acts as "dynamic resistance