The Median Line
as a Trend Indicator
For those interested in a forex, futures, or stock trend trading indicator, the Median Line can be used to determine the price trend. The Median Line drawn from three consecutive, alternating price pivots will indicate an uptrend or a downtrend as well as give an indication of when it will end.
Andrews explained in his course,
“Slopes of alternate ML’s of comparable length indicate the trend”.
For example, in the graphic above, we can see how the progression of slopes of the different Median Lines give an indication of when the trend as well as when it will end.
The upsloping medians drawn from low pivots (red, green, black, and grey) gradually change from a sharp upsloping line (red) to a nearly horizontal line (grey) as the trend changes from an uptrend to a downtrend.
The downsloping medians drawn from high pivots (blue, orange, and brown) gradually change from a nearly horizontal line (blue) to a sharper downsloping line (brown) as the trend changes from an uptrend to a downtrend.
Andrews described the idea in his course,
“So this is like a vector diagram of forces showing the trend will steadily be down...until medians point upwards again”.
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