What is this indicator?
Shows the highest and lowest price of a defined period as two parallel lines. A break of this channel is usually interpreted as a signal of trend continuation or a new trend starting.
How to read the chart
Price approaching these levels sets up probable reactions (support, resistance, or a breakout), and traders usually watch how price behaves in exactly these zones.
Practical tip
These levels aren't definitive — they're just probable reaction zones; getting confirmation from price action or volume before deciding is recommended.