If connecting the price tops of a particular stock or index compose a horizontal line parallel to a line connecting the bottoms of that stock or index, the Horizontal Trend Channel is the area between the two lines.

The daily stock prices of Sun Microsystems formed a horizontal trend channel in the latter half of 1998. The significant event is when the price ultimately breaks the upper line of the channel, and the stock price goes up twenty points over the next three weeks, and has continued an uptrend to almost $110 in late January, 1999.

IQC Zone, a proprietary indicator found only in IQ Chart, helps to identify entry and exit points in the example.

You can choose up to four indicators at a time, such as IQC Zone, to display above the chart, by clicking on "Indicators" within IQ Chart. All drawing functions in IQ Chart Version 3.1, such as trendlines, are performed by clicking on "Toolbox".

Go to next chart pattern