Higher Low
A trough that forms above the prior swing low — the second structural requirement of a defined uptrend.
A higher low occurs when a price pullback finds support above the previous swing low. It indicates that buyers are stepping in at progressively higher prices — the market is unwilling to revisit lower levels. Combined with higher highs, it confirms an uptrend.
The formation of a higher low after a corrective move is often the cleanest entry signal for trend followers: the trend structure is intact, the pullback has provided a better price, and the stop sits just below the new higher low.
Related Terms
Higher High
A peak that exceeds the prior swing high — one half of the structural definition of an uptrend.
BeginnerPullback
A temporary counter-trend retracement within an ongoing trend, offering a lower-risk entry in the direction of the trend.
BeginnerSwing Low
A candle or bar whose low is lower than both the preceding and the following candle's lows — a local price trough.
BeginnerTrend
The persistent directional bias of price over a defined timeframe — up, down, or sideways.
BeginnerUptrend
A market structure defined by a sequence of higher highs and higher lows, signalling persistent buying pressure.
Beginner