Dow also considered the effect of volume on a trend.
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As the price continues to rise your stop 'trails' higher in tandem.
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Recognizing the trend line and the opposing parallel channel line - channel return line - and understanding the human dynamics that account for its structure, increase the efficiency of profit making by initiating or adding to one's position at trend lines and profit taking at the channel return line.
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Would you like to trading for beginner with money selling and also forex trading companies and trade like a Pro!
So it is with channels, as these too must be adjusted as the trend accelerates or decelerates.
The penetration of support/resistance levels can be triggered by fundamental changes that are above or below investor expectations.
Once you have entered a trade immediately place a stop.