I am starting this thread to propose an hypothesis regarding why I believe trendlines are significant, not random and of use in trading. I believe many "major" trendline breaks are correlated to "news" or "fundamental" changes in a given market. Trendline breaks then reflect this change. For instance let's say you have an 11 market day uptend on a daily chart. HH and HL. But then oil, inflation, non-farm payrolls, etc. fundamentally change the perception of the current price trend and you get a price trend break from up to either down or consolidation. That is why I believe trendlines work. Any thoughts or research to support or refute this simplistic view of trendlines is welcomed. D.