What is a Price Channel?
Price Channel Definition:
In Technical Analysis, a price channel is a chart pattern formed when the price moves between two parallel sloping resistance and support levels. The price would generally move along the direction of the channel which could be upwards, downwards or sideways as long as the resistance of the channel holds. A breakout from either resistance or support could send it to its minimum target which is about equal to the height of the channel from the point of breakout.