How tramline kisses give your trading an edge

John C Burford explains what trendline 'kisses' are in the charts and how swing traders can use them to profit.

Today, I want to cover tramline kisses and how you can play them for profit.Both trendlines and tramlines are sloping lines that are lines of resistance or support.

In a bull market, the line joining the lows is a line of support. That's because every time the market declines from above to touch the line, the market reverses back up and creates a touch point. In a bear market, the line joining the highs is a line of resistance.

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John is is a British-born lapsed PhD physicist, who previously worked for Nasa on the Mars exploration team. He is a former commodity trading advisor with the US Commodities Futures Trading Commission, and worked in a boutique futures house in California in the 1980s.

 

He was a partner in one of the first futures newsletter advisory services, based in Washington DC, specialising in pork bellies and currencies. John is primarily a chart-reading trader, having cut his trading teeth in the days before PCs.

 

As well as his work in the financial world, he has launched, run and sold several 'real' businesses producing 'real' products.