Swing Points

Swing points are areas on a chart where momentum shifts, and creates a high, or a low. These are points where trendlines should be drawn from, and so correctly recognising these is an important skill to have

HOW TO SPOT SWING POINTS

Recognising these is very straightforward. To spot a Swing High, look for three candles. The middle candle should have the highest point in price, and the two candles either side should be lower. This is inverse for a Swing Low

VALIDATING SWING POINTS

It is also ideal for price to break a prior swing level which is opposite to the one just created. For example, price coming down from a swing high, should go lower than a previous swing low. And so, price coming up from a swing low, should break a previous swing high