Circular trendlines reading, how ?

<p id="isPasted">Circular trendlines, or curved trendlines, are used to visualize and analyze trends in data where a straight line doesn't adequately represent the pattern. They are particularly useful when dealing with data that exhibits accelerating or decelerating changes over time, rather than a consistent linear trend. To read them, focus on the curve's direction, steepness, and how it relates to the data points. A curved trendline can reveal patterns like exponential growth or decay, or a trend that is changing its rate of increase or decrease.&nbsp;</p><p>Key aspects to consider when interpreting circular trendlines:</p><p>Direction:</p><p>The overall upward or downward direction of the curve indicates the general trend. A curve that slopes upwards suggests a positive relationship between variables, while a downward slope suggests a negative relationship.</p><p>Steepness:</p><p>The steepness of the curve indicates the rate of change. A steeper curve signifies a faster rate of change, while a shallower curve indicates a slower rate of change.</p><p>Relationship to Data Points:</p><p>Observe how the data points relate to the curve. Are they clustered closely around the line, indicating a good fit, or are they scattered, suggesting a less reliable trend? Look for patterns in the deviations from the curve, as these can provide additional insights.</p><p>Inflection Points:</p><p>Identify any inflection points on the curve, where the direction of the curve changes (e.g., from concave to convex). These points can indicate significant shifts in the underlying trend.</p><p>Type of Curve:</p><p>Different types of curves (e.g., exponential, logarithmic, polynomial) can be used to model different types of data patterns. Understanding the type of curve used can help in interpreting the data more accurately.&nbsp;</p><p>R-squared Value:</p><p>The R-squared value (or coefficient of determination) indicates how well the curve fits the data. A higher R-squared value (closer to 1) indicates a better fit.&nbsp;</p><p>Examples of circular trendlines in different contexts:</p><p>Growth Curves:</p><p>In biology or finance, exponential or logarithmic curves can model population growth or compound interest, respectively.</p><p>Deceleration Curves:</p><p>In physics or engineering, a decelerating curve can model the slowing down of an object or process.</p><p>Polynomial Curves:</p><p>Polynomial curves can be used to model more complex trends that involve changes in both direction and rate of change.&nbsp;</p>

<p id="isPasted">To read circular trendlines, use them as support and resistance levels on a chart by drawing circles to connect points and observing how price bounces off the perimeter. The trend's speed is shown by the angle of the bubbles: the path of price accelerates as the bubbles' angles approach 90 degrees and slows down as the angle approaches 20-30 degrees. A price moving towards the perimeter of a circle may signal a rebound, with the perimeter serving as a buy/sell point. &nbsp;</p><p><br></p>