Let’s look further into the use of the trend lines as map for projecting areas of alerts. In the following chart the Day candles are shown with an Outer Trend line starting at the low and connecting to the next high on February 8th. This means the line could be drawn only after February 8th. We have another Outer trend line that starts December 29th and connects to the low on January 28th. These lines create an alert to be on watch for a breakdown. Notice that we do not have to be that precise. The value of being able to draw the line is to be able to project into the future where the geometry of the market would challenge the bulls. The Inner Trend line connecting the Low on February 23 to the next high on February 25th provided an early alert on where the momentum up for the Dollar Index would be tested. The probing and break of this inner trend line is a key signature of dollar bull weakness. The probing of that line on March that line on March 4th and its breaking on March 6th, 7th, and 8th was the beginning of the breakdown of the upper channel. Here are two views of these trend lines to help you visualize this process.