Objective way to identify trend

[AnthonySn]

I have a trend trading system and most losses appear in the range market condition. What can I use as a range identification for my system other than looking at trendlines and swing highs lows dynamic? I tried using ADX but it doesn't work well, it often signals range when there is a trend and vise versa.

[aqokiyeusare]

Price has two states available to it: trending and ranging. If you don't want to look at trendlines, then you're going to have a more difficult time finding ranges. You may be interested in the pdf I uploaded here (http://www.trade2win.com/boards/technical-analysis/207918-if-you-can-draw-straight-line-you-can-become-successful-trader.html#post2592986). In a nutshell, once your trendline is broken, the probability of ranging increases. If an attempt at a reversal fails, the probability of ranging is that much greater.

Your thread title says "objective way to identify trend". As you have a trend-trading system, I assume that what you're looking for is an objective way to identify ranges. The above will help you do that.

[Arthurdelt]

There's no reason for trendlines to be subjective. For an uptrend, draw a line across the first two swing lows and a parallel line across the intervening swing high. That's your trend channel. Flip for a downtrend. Add volume and they can provide you with a plan of action.

See the image posted here (http://www.trade2win.com/boards/trading-journals/213190-wyckoff-method-original-5.html#post2706448).

[asayowonarufu]

You could look at the donchian channel. The donchian is a measure of new highs or lows taking place. if there are no new highs or lows within a certain time period, that I find is a really good indication of a range. it doesnt look at swings, just whether a new high or low has taken place
You can easily use that within technical screeners also.