How to Use Trend Lines With SMC (The Right Way)

Why It Matters

Properly using trend lines adds structural confidence and earlier entry signals to SMC strategies, potentially boosting traders’ profitability while reducing false breakout risk.

Key Takeaways

• Trend lines work when drawn with multiple price touches.
• Use channels on higher timeframes for structural trading confidence.
• Avoid trend lines that cut through candle bodies; wicks are acceptable.
• Combine trend lines with SMC market structure, not replace it.
• Early entries possible via trend‑line breaks, but require careful risk management.

Summary

The video explains how to integrate trend lines into Smart Money Concepts (SMC) trading, emphasizing that diagonal levels can be valuable when applied correctly. Justin Bennett argues that many traders dismiss trend lines as taboo, yet they provide additional structure and confidence when combined with SMC’s core market‑structure analysis. Key insights include drawing channels on higher‑timeframe charts, ensuring the market respects the line with multiple touches, and avoiding lines that cut through candle bodies—wicks are permissible. A valid trend line should have at least two, preferably three or more, touch points, and it must not intersect the body of candles, which would undermine its reliability. Bennett illustrates his points with real‑time examples on the Euro and the US Dollar Index (DXY), noting how a well‑respected trend line can offer early entry opportunities even before a formal change of character occurs. He stresses that trend lines supplement, not replace, traditional SMC elements such as break of structure (BOS) and change of character (CHoCH). The implication for traders is clear: correctly applied trend lines can enhance trade confidence and enable earlier positioning, but they require strict adherence to validation rules and an awareness of the added risk when entering before a confirmed market‑structure shift. This disciplined approach can improve win rates and overall profitability for SMC practitioners.

Original Description

I just launched a free 3-day SMC strategy course that walks through exactly how I trade structure, liquidity, and entries as a full-time trader.

You can access it here: https://access.dailypriceaction.com/smc-strategy

Most SMC traders ignore trend lines.

I don’t.

In this video, I break down exactly how I use trend lines with Smart Money Concepts to add structure, improve timing, and get more confidence in my trades.

The key is knowing how to use them the right way.

I’ll show you how to draw valid trend lines the market is actually respecting, how to avoid the common mistakes traders make, and how to combine them with market structure, BOS, and change of character without replacing your SMC foundation.

We also cover how trend line breaks can offer early entries before confirmation, and when that added risk actually makes sense.

I walk through real EURUSD and DXY examples so you can see exactly how this plays out in current market conditions.

If you’ve been using only horizontal levels, this might be the missing piece to clean up your execution and improve consistency.

#smc #smartmoneyconcepts #forex #forextrading #priceaction #trendlines #eurusd #dxy #tradingstrategy

CHAPTERS

0:00 Trend Lines With SMC

0:21 Two Ways I Use Trend Lines

1:38 Trend Line Mistakes To Avoid

3:40 Trend Lines vs. Market Structure

5:59 Free SMC Strategy

6:29 Early Entries With Trend Lines

9:09 EURUSD And DXY Example

12:32 Trend Lines For SMC Recap

SMC LESSONS

BoS and CHoCH made simple

https://youtu.be/FE1bgD9N6DM

Steal my liquidity sweep entry model (beginner-friendly)

https://youtu.be/XH4TAoLCFBk

Premium, discount, and OTE explained

https://youtu.be/UWrvexqN3w8

Disclaimer: This video is for educational purposes only and is not financial advice. Trading forex, crypto, and other markets involves risk and may not be suitable for all investors. Always do your own research and never risk money you can’t afford to lose. I am not responsible for any losses you may incur from acting on the information in this video.