How to Read Different Types of Indices Charts
Indices Trade Different Types of Indices Charts
There are 3 types of indices charts: Line indices chart, bar chart and candle stick chart.
Indices Candles Trading Charts - the indices candles trading charts use the same stock indices price data as indices bar charts (open, high, low, and close). However, indices candles trading charts represent the charts in a much more easily identifiable way which resembles a candle with wicks on both ends.
How to Read Candles Indices Charts
Rectangle part of the candlestick is called the body.
The high and low are described as shadows & are plotted as poking lines.
How to Read Different Types of Indices Charts?
The color of the indices candlestick is either blue or red
- (Blue or Green Color candlestick) - Indices price moved up
- (Red Color candle) - Indices price moved down
Most indices trading softwares like the MT4 platform, use colors to mark the direction of the indices price. Colors used are blue or green: - green indices candlestick when stock indices price moves up, red indices candlestick when stock indices price moves down.
What's a Line Stock Indices Charts?
A line chart in Indices draws the closing stock indices price of a stock indices & connects this closing stock indices price to the closing stock indices price of the next trading period hence forming a continuous indices line stock indices chart that draws the movement of stock indices price movement.
Line Stock Indices Chart - draws a continuous line connecting closing indices prices of a on the stock indices price chart.
How to Read Different Types of Indices Charts?
What's a Bar Charts?
Bar Charts are charts representation of the stock indices price displayed as sequence of OHCL bars. O-H-C-L represents OPEN HIGH LOW and CLOSE. The Opening stock indices price is displayed as a horizontal dash on left & closing stock indices price as a horizontal dash on right.
How to Analyze Different Types of Stock Indices Charts - How to Trade Different Types of Indices Charts?
How to Read Different Types of Indices Charts
