Trend Following Strategy: Rules, Indicators and Examples

Trend following, or trend trading, is one of the simplest trading strategies for beginners. Basically, you open trades in the direction of an existing movement in the financial markets that is supported by the majority of traders and/or large institutional investors. A single long position in the direction of the trend can offset the losses from several small losing trades.This overview explains the advantages and disadvantages of trend trading, introduces analysis tools, and outlines trading st