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Reduces the fluctuations in the trend line to a show smoother pattern. This trendline is not available if the data series contains any zero or negative numbers You use the period field to specify the number of data values to create the line. Excel creates the line by averaging the specific data values.

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Updated Nov 16, What Is a Trendline? Trendlines are easily recognizable lines that traders draw on charts to connect a series of prices together or show some data's best fit.

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Trend Lines A trend line shortened to "trendline" elsewhere on this website is simply a momentum indicator. It measures the rate of increase in the share price over time and alerts you to any acceleration or deceleration of the trend. The difference between trendlines and other momentum indicators is that you use a super-computer the human brain to visually identify the trend, rather than a simplistic formula calculated on your PC.

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The type of data you have determines the type of trendline you should use. Trendline reliability A trendline is most reliable when its R-squared value is at or near 1.

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Power Moving Average Here is a good article that explains what these trend lines are and when to use these. To select any of these other variations. It will show you all the trendlines that you can use in Excel. Apart from linear trendline, another useful option is a moving average trendline.

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This article includes a list of general referencesbut it remains largely unverified because it lacks sufficient corresponding inline citations. Please help to improve this article by introducing more precise citations. July Learn how and when to remove this template message Trend lines on a price chart.

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