What is the definition of a rising valid trend line (VTL)?

A valid trend line (VTL) is specifically constructed by connecting two or more price lows that form a series of higher lows in an upward-moving market. This definition aligns with the concept presented in option B, which states that a trend line is drawn from two consecutive price lows of the same period cycle.

A valid rising trend line demonstrates that buyers are consistently entering the market and pushing prices higher, which indicates bullish sentiment. The trend line acts as a support level, where prices are expected to bounce back when they approach it. The significance of this connection and the presence of higher lows reinforces the ongoing bullish nature of the trend.

Understanding that a rising valid trend line is based on price lows helps traders assess the strength and sustainability of the upward movement in a security's price. This concept is fundamental for technical analysis and emphasizes the importance of price action and market structure.