Ascending channel

An ascending channel are two lines that contains the price fluctuation of a given security in an ascending direction. The bottom line follows the security's lows and the top line passes the peaks.
When drawing an ascending channel, the lines should not always follow a peak or a bottom that deviates too far away from the trend. An ascending channel can also be used to measure a potential price reversal if higher highs or lower lows start to stray further from the lines.

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