Trading Trendlines
Read fixed trendline anchors, completed-candle responses and structural risk, then practise five free chart reps.
Quick answer
A trendline joins confirmed swing lows or highs to mark a sloping reference area. Keep anchors consistent, wait for price confirmation and define risk; the line does not predict an outcome.
- Keep two confirmed wick-pivot anchors fixed rather than redrawing around an outcome.
- Distinguish a touch, a confirmed close, and a break followed by a retest.
- Use structural invalidation and practise staying flat in the false-breakout observation rep.
Read the line from known swings
A rising support line joins two confirmed higher swing lows; falling resistance joins two confirmed lower swing highs. This course uses candle wick pivots consistently. A pivot needs completed candles on both sides before it is known. A later third test lets you inspect a response; it does not guarantee a bounce.
Keep the anchors honest
The game supplies pre-drawn lines; these reps practise reading them, not drawing with a mouse. Keep the two original anchors fixed and never redraw a line to fit an outcome. On your own charts, define the pivot rule before testing and keep the wick-or-body convention consistent.
These are one-minute simulated candles on a linear price scale. A different timeframe or logarithmic scale can change the swings and the line. A steep-looking angle on screen is not evidence of a stronger trade.
Separate a touch from a trigger
For this course, a bounce needs a completed candle response on the original side of the line and continuation in the planned direction. A breakout needs a completed close beyond it. A break-and-retest short additionally needs a return from below and bearish rejection. A wick through the line alone satisfies none of those plans. These are practice rules, not a claim that a single close predicts the next move.
Plan around invalidation
Place a planned stop beyond the swing and line area that would invalidate the idea, rather than exactly on the drawn line. Then fit the size to the loss budget and check the room to the target. Do not widen the stop or move the anchors to keep a losing trade alive. Real fills can slip and costs matter; a line cannot guarantee a limit on loss.
Your five practice missions
Level 71: read a third test of rising support, a completed bullish response and continuation before BUY. Level 72: assess a third test of falling resistance, completed bearish rejection and continuation before SELL. Level 73: wait for a close above falling resistance before BUY. Level 74: read a break below rising support, a retest from below and rejection before SELL. Level 75: observe a possible false breakout and finish without an entry; taking a trade cannot clear it.
Traded course reps need a profitable result with confirmed entry and risk rules met to clear. Process credit can recognise a sound read even when the trade loses. Replay what was visible at your decision rather than assuming the outcome was knowable. Progress and XP describe simulated practice, not live-trading readiness.
Further reading
Research reviewed 15 October 2026: Fidelity: Basic concepts of trend explains rising and falling lines and why a break is only a warning. Fidelity: Identifying Chart Patterns (PDF) covers confirmation filters, false breakouts and protective stops. Charles Schwab: Support and resistance provides wider chart-reading context.
Sources and review notes
- FundedReady methodology - How FundedReady structures simulator lessons and educational content.
- TradingView Lightweight Charts - Open-source charting library used by the simulator.
FundedReady lessons are educational. They explain simulator concepts and are not trading advice or live market signals.