A sideways trend is a horizontal price movement that occurs when supply and demand forces are nearly equal. Alternatively, the asset is in equilibrium, which means that many traders are looking for support and resistance levels and trading between these parallel trendlines. Range trading is another name for this trendline strategy.

A sideways trend occurs when the price moves in a narrow band, neither upward nor downward.

A sideways trend, also known as a horizontal or range-bound trend, occurs when the price of an asset moves within a relatively narrow band, fluctuating between consistent support and resistance levels without showing a clear upward or downward direction. This trend indicates a period of market consolidation, where buying and selling forces are balanced, leading to minimal price movement. Sideways trends are common during periods of uncertainty or low market activity, often preceding significant breakouts or breakdowns. Traders may use this phase to identify potential entry or exit points, employing strategies like range trading. Recognizing a sideways trend is crucial for investors, as it helps in setting realistic expectations and avoiding premature decisions based on short-term fluctuations.