How to Read Stock Indices Chart Patterns and What is Indices Charts Analysis Patterns

Indices Charts Analysis Strategies PDF

There are 3 types of charts used in Indices: Line Indices Chart, Bar Indices Chart and Candlesticks Stock Indices Chart - how to read indices charts beginners PDF.

How to Read Indices Chart Analysis

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

Indices Trading Line Indices Charts - How to Read Indices Charts Beginners PDF

Bar Indices Chart -indices trading bar stock indices charts are displayed as sequence of OHCL bars. OHCL represents OPEN HIGH LOW & CLOSE. The Opening stock indices price is displayed as a horizontal dash on the left and closing stock indices price as a horizontal dash on the right.

Indices Trading Bar Indices Charts- How to Read Indices Charts Beginners PDF

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

Candlesticks Indices Charts - these candlesticks indices charts use the same stock indices price data as indices bar charts (open, high, low, and close). However, they in a much more visually identifiable way which resembles a candle with wicks on both ends.

How to Interpret Candlesticks Indices Charts

The rectangle part of the indices candlestick is called the body.

The high and low of the indices candlestick are described as shadows and drawn as poking lines.

How to Read Indices Charts Beginners PDF

The color of the indices candlestick is either blue or red:

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

Most indices trading platforms like the MT4 Indices Trading Platform, use colors to mark the direction of the stock indices price. Indices Candlesticks colors used are blue or green; when stock indices price moves up, color of indices candlestick is blue; when stock indices price moves down, color of indices candlestick is red.

Candlesticks Indices Charts vs Bar Indices Charts

When Indices Trading candlesticks stock indices charts are used it is very easy to see if the stock indices price moved up or down as opposed to when bar stock indices charts are used.

The Japanese candlesticks indices charts trading techniques also have very many candlesticks formations that are used to trade the Indices Trading Markets. These stock indices chart patterns have different stock indices technical analysis interpretation and the most common are:

How to Read Stock Indices Chart Patterns Beginners PDF

The above stock indices candlesticks patterns is what makes the Japanese candlesticks stock indices chart patterns popular among indices traders and it is why this type of technical stock indices chart analysis are the most widely used when it comes to analyzing the Indices Trading market. The analysis for these indices charts pattern formations in indices trading is the same as that one used in stocks trading.