Charts Online Course Beginner Traders Tutorial & Charts Patterns Analysis

Chart Patterns Analysis Strategies

There are 3 types of charts used in Indices: Line Chart, Bar Chart and Candlesticks Stock Chart - How to Predict Charts.

How to Trade Stock Chart Analysis

Line Stock Charts - indices line charts draw a continuous line connecting closing prices of indices.

Indices Trading Line Charts - How to Predict Charts

Bar Chart -indices bar charts are displayed as sequence of OHCL bars. O-H-C-L represents OPEN HIGH LOW & CLOSE. Opening price is displayed as a horizontal dash on left & closing price as a horizontal dash on right.

Indices Bar Charts - How to Predict Charts New Traders Lesson

The main disadvantage of bar chart is that it is not visually appealing, therefore most traders don't use them.

Candle-sticks Charts - these candles charts use the same price data as bar charts (open, high, low, and close). However, they in a much more visually identifiable way which resembles a candle that has wicks on both ends.

How to Interpret Candlesticks Charts

rectangle part of the candle stick is called the body.

The high and low of the candlestick are called as shadows and are plotted as poking lines.

How to Predict Charts

color of the candle stick is either blue or red:

• (Blue or Green Color Candlesticks) - Prices moved up
• (Red Color Candlesticks) - Prices moved down

Most platforms like the MT4 Indices Software, use colors to mark the direction of the price. Candlesticks colors used are blue or green: when price moves up, color of candle is blue: when price moves down, color of candle stick is red.

Candles Stock Charts vs Bar Charts

When Indices Trading candles charts are used it's very easy to see if the price moved up or down as opposed to when bar charts are used.

Japanese candles charts techniques also have very many candles formations which are used to trade the Trading Markets. These chart setups have different stock technical analysis explanation and the most common are:

Charts Online Course Beginner Traders Lesson Beginner Traders Tutorial

The above candlesticks patterns is what makes the Japanese candlesticks chart patterns popular among traders and it is why this type of chart analysis technical analysis are the most widely used when it comes to analyzing the Trading market.