Financial Glossary what is trend-trendline


Trend/trendline

A trend in a securitys price or rate, normally upwards or downwards, indicating an imbalance in the supply and demand for the share, or sometimes flat. When there are more sellers than buyers the trend will be downwards and when there are more buyers than sellers the trend will be upwards. If the number of buyers and sellers is roughly equal, the market will move sideways, on a flat trend, and the share price will stay within a trading range. Once a trend comes to an end, it is usually reversed. As well as being classified by direction (upwards, downwards), trends are also classified by duration with minor trends lasting from a few days to several weeks, and major trends lasting for anything from several months to several years.
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