One of the charting methods used to assess the overall strength of the market is point-and-figure charting. The first point-and-figure analysis you should be aware of is the use of trendlines, both the bullish support line and the bearish resistance line. These trendlines are not drawn the same way as they are on bar or line charts. The bullish support line is essentially a 45-degree line sloping upward from left to right, starting at the bottom of a recent low. This is illustrated by the line of plus signs in the below figure.

The bearish resistance line is the inverse. It is a line sloping down from left to right, drawn from the top of a recent high on the point-and-figure chart. This line also slopes at a 45-degree angle. This is shown in the above figure as a line of minus signs. These lines make it simple to come to a general conclusion regarding the object of the study. If the price action is above the bullish support line, one looks to go long. If, however, that line is broken with a downward move in the price action, one looks for shorting opportunities while the price action is below the bearish resistance line.