Over time we can recognize that this movement of price to and from the trend line forms a channel, which once identified can be traded.
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He may also purchase goods and services whilst overseas and his credit card company has to convert those sales back into his base currency in order to charge him.
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When a major support level is about to break there are normally thousand of traders with some technical training who are aware of this and exploit the situation.
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It is very important to understand the concept of support and resistance.
The last major part of the theory is the trend should be assumed to still be in force until there is a definite indication that the direction has in fact changed.