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I checked 2019 tick charts with Mack's trend lines and trend channel lines. I found there are so many of these channels cutting through price bars. I don't know why sometimes this is OK. In my understanding, if a trend line has been cutting through, the channel is broken, then the new extreme means the trend has played out. If you allow the channel that has been broken to extend further right, then the trend can be still effective after break and new extreme. Below is an example for the trend line cutting through price bars.



Same things happened for the trend channel lines in those charts. With trend channel lines cutting through prices, the otherwise invalid channel will look more justified and possible overshot has been ignored. Below is an example.



I know Mack is an experienced trader so he must have reasons to justify that way of drawing trend lines and trend channel lines. Then what are the rules of thumb regarding drawing lines that cut through price bars? When can we draw such price bar cutting lines?

Thanks.

Cheers!

This thread needs to be moved first to a private area. Then, if you could, please provide a little more insight into your current experience and background. Thank you.

Good trades to you!

Already sent you the private message.

Please advise what kinds of questions I can post here and what questions should be sent you through private messages.

Thanks again.

The open forum area is an open inquisitive area for non members. Thanks!