What Is The Difference Between Momentum And Trend In Forex Market? | All About Money Online

Momentum The amount of acceleration of an economic, price, or volume movement. A trader who follows a movement strategy will purchase stocks that have recently risen in price. Momentum indicators Indicators used in market analysis to quantify the momentum of upward and downward price movements. Trend The general direction of the market. Trendline A technical chart line that depicts the past movement of a security and that is used in an attempt to help predict future price movements.

So think of the difference like this. If you throw a ball; the first half of the ball’s momentum is strong and stronger than 2nd half. Then after throwing ball several times you see a trend of strength the first half and less strength the second half.

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