A sideways market is defined as the horizontal movement of prices that occurs when supply and demand forces are roughly equal. Prices remain within a narrow range in a sideways market, neither increasing nor decreasing. This is frequently observed prior to the price continuing a previous pattern (trend continuation) or reversing into a new trend (trend reversal) (trend reversal). A downward price movement is also known as a horizontal or range-bound trend. A sideways market also has price volatility that stays within a narrow range for an extended period of time with no discernible trend.