How To Read the Road Map
Trend Continuation Lines
Every dashed green (indicating upward) or purple (indicating downward) trend line is linked to a horizontal Trend Continuation Line. This line implies that future prices are expected to meet this level, thereby reinforcing the continuation of the current trend.
Temporary Trend Shift in Trend Direction
When opposite-directed trendlines intersect, it typically signals a mere temporary shift in trend direction. As depicted in this graph, a temporary dip in the trend is showcased.
Box Retracement Levels
Dashed lines extending from boxes act as retracement levels in our trading system, with the size of the box indicating its significance. Larger boxes typically hold more importance than their smaller counterparts.
Box Target Levels
When a purple horizontal Trend Continuation Line shifts to blue or a green horizontal Trend Continuation Line shifts to orange, it signals the formation of a box. This box unfolds as the price aligns with the line's level.
Blue Boxes
The box's upper limit is determined by the highest point reached above the initial line as indicated by the blue arrow in the diagram for the purpose of this explanation. The target level is set at this high point, with the potential to rise higher if the price surpasses this point before reaching the blue line.
Orange Boxes
For orange boxes the opposite is true, so the lowest point below the line becomes the Box Target Level.
Significance
Darker Lines and boxes tend to be more significant than the lighter ones.
