Donchian Channels: Identifying Market Breakouts
These channels illustrate the high and low of a specific period. It is famously known as the core indicator for the “Turtle Trading” strategy.
🚀 Why it works: It perfectly identifies price breakouts. A break above the upper channel often signals the start of a strong new uptrend. 🛡️ Trading Note: A common strategy is to stay in a long trade as long as the price does not break below the lower channel.