Technical Glossary / Trend Analysis
Minor Trend
The short swing inside the secondary move, the day-to-day fluctuation.
Teaching sketch. It shows the shape, not a live quote and not a trade signal.
Definition
The minor trend is the smallest of Dow's three movements: the fluctuations inside a secondary move. On a modern chart it is the swing on your execution timeframe. It can be up for two days inside a secondary decline inside a primary bull market. All three can be true at once.
How to identify it
Drop one timeframe below the chart where you defined the secondary trend. The minor trend is the latest series of highs and lows there. It changes often. That is expected.
How traders use it
Use the minor trend for timing, not for the thesis. A minor uptrend is a reason to schedule an entry with the primary trend. It is a poor reason to ignore a broken primary level.
Common mistakes
Letting a minor trend dictate a position sized for the primary trend. The noise will stop you out, or it will talk you into adding at the worst point of the secondary move.
Limitations
Minor trends are where overtrading lives. If every minor turn is a new opinion, you do not have a primary trend. You have a stream of opinions.
This note explains the term. A sketch shows the shape of the idea. Neither is a recommendation, a signal, or a comment on any security. Indicator settings and exchange conventions differ. Check the live chart and the contract specification before you use a number.