# Trend line intersection, Excel : Intersection of two linear straight lines

### Calculate the intersection of a trendline and a horizontal line

In last week's Lessons From the Pros newsletter, we discussed how learning to trade is like learning to drive a car - Learning to Trade is Like Learning to Drive. When you pull up to an intersection, very often we have a couple of choices to make be it to turn left, right, or go straight.

In trading, our choices are buy, sell or wait. When we come to this intersection, what is the higher probability trade, long or short? While we are in this yellow shaded supply and demand zone near the intersection of the two trendlines, we have a choice to make.

Go left or right?

### What Is a “Confluence” of Support or Resistance?

Long or short? Or should we wait? When I teach one of our Online Trading Academy classes, this question comes up every trading day. Trend line intersection your answer to the buy sell or wait question is "wait," you have to ask yourself the next question. The general rule of thumb is that the trendline that has been valid the longest is the trendline that will win.

### Excel : Intersection of two linear straight lines

Looking to the left on our supply demand zone area, there isn't a very compelling or high quality level we would have drawn here. Using the two trendlines and the intersection of all three can give us a trade.

In this case, selling in the minor supply zone because of the longer term downward sloping trendline 1 would have been the proper trade. As the price action falls quickly into the yellow demand zone near the red arrow, there isn't really a clear downward trendline that we can draw into that zone.

However, the longer term upward sloping trendline is very obvious. Coming into this intersection, we only have two choices, buy or wait.

### intersections

You could make the case for planning a short trade, but not until the yellow demand zone had been broken or even broken and then re-tested. Why on earth would you sell IN the yellow demand zone?

• Is it possible to earn big money honestly
• What Do You Do at an Intersection?
• This is an excellent question, and the answer can improve your trading performance in a big way.
• Trend Lines A trend line shortened to "trendline" elsewhere on this website is simply a momentum indicator.
• Rating of trading platforms for binary options
• Что ж, я думаю, ему лучше отправиться с нами.

No reason at this intersection. If price drops through the demand zone, there would be a potential sell.

### What Do You Do at an Intersection?

But at this time, the better choice is to hit the buy button. If your answer to the question buy, sell or wait was to wait, what on earth are you waiting for?

A traffic cop to point at you and tell you to go? I hope you don't need that! Let's explore this topic a bit more. Leaving our driving analogies for a moment, what kind of trades are these - reversal or trend — following?

Most people will answer trend - following. Guess what? Every trade is BOTH.

On these two charts they are obvious trend followers, but when you zoom in on a smaller time frame —for example a 10 minute chart-you will notice very often a reversal trade. What trend line intersection we looking for in a reversal trade? The plan of action is then to do the following: In a larger time frame chart, look for an intersection of a trendline or two!

Look for a smaller time frame reversal pattern in the intersection. This should give you the direction to trade with a higher probability of being right.

## How to Determine the Y-Intercept of a Trend Line | Sciencing

Practice this technique like you practiced driving, and make sure you look both ways before turning! Learn to Trade Now This content is intended to provide educational information only. This information should not be construed as individual or customized legal, tax, financial or investment services. As each individual's situation is unique, a qualified professional should be consulted before making legal, tax, financial and investment decisions.