*HIGHER HIGH & LOWER LOWS*
In technical analysis, the concepts of "higher highs" and "lower lows" are essential for identifying market trends and potential reversals. Here's a breakdown of each term:
▎Higher Highs
• Definition: A higher high occurs when the price of an asset reaches a new peak that is above the previous high.
• Indicates: This pattern suggests bullish momentum, indicating that buyers are in control and that the asset is likely in an uptrend.
• Use in Analysis: Traders look for sequences of higher highs to confirm a strong uptrend. If the price consistently makes higher highs, it can signal continued strength in buying pressure.
▎Lower Lows
• Definition: A lower low occurs when the price of an asset falls to a new low that is below the previous low.
• Indicates: This pattern suggests bearish momentum, indicating that sellers are dominating and that the asset is likely in a downtrend.
• Use in Analysis: Traders look for sequences of lower lows to confirm a strong downtrend. If the price consistently makes lower lows, it can signal continue
