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InvestHub.com's
Finance Dictionary and Glossary of Investment Terms

trendline  

Definition 1.

Technical analysis formation created by drawing a line connecting a series of descending tops, descending bottoms, ascending tops or ascending bottoms. Some technical analysts look for prices breaking through trendlines on the belief that those stocks have broken through a resistance level and are headed in a new direction.
 

Definition 2.

A technical chart line that depicts the past movement of a security and that is used in an attempt to help predict future price movements.
 

Definition 3.

A line on the price or value chart of a security depicting the general direction the security is headed, either up or down. Here is an example of a upward trendline:
 
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