What's a Candles Chart in Indices Trading?

Types of Charts in Indices

There are 3 types of charts used in Indices: Line charts, bar charts & candlesticks charts.

Candlesticks Charts - the candlesticks charts use the same price data as bar charts (open, high, low, and close). However, they're displayed in a much more easily identifiable way that resembles a candlestick with wicks on both ends.

How to Read Candlestick Charts

The rectangle section is known as body.

The high & low are described as shadows and plotted as poking lines.

What is Candlesticks Chart in Indices Trading?

The color of the candlestick is either blue or red

• (Blue or Green Colour candle-stick) - Prices moved up
• (Red Colour candlestick) - Prices went down

Most softwares like the MT4 Indices Platform, use colors to mark the direction. Colors used are blue or green: - green candlestick when stock price moves up, red candlestick when stock price moves down.