The different variants of price charts

The different variants of price charts

binary-503603_960_720As in every segment of the financial markets, it is also to meet the business with binary options importance of proactive and onlinescam strategic decisions. These however can only be based on hard facts and figures come. Only those who will have the correct information about an asset and can give a good prognosis.

Most Binärtrader operate for this reason that technical analysis of different assets with which they want to trade. They examine out the last courses on certain patterns and indicators, of which they expect evidence of the likely way forward of the underlying.

Wanted blank make the chart by lines and channels graphically readily apparent include the price trends

For this analysis, you need accurate and especially meaningful price charts, the one part, easy to read the price of an underlying, but also on the other hand reflects the necessary amount of information. To this end, the trader has the choice between different types of charts that differ primarily in complexity and communication peripheral.

while the next four shapes are used mainly

  • Line chart
  • Surface chart
  • Bar chart
  • Candlestick chart

Line chart
probably everyone who has ever followed the stock market, it knows the simple line chart in which a lone dash on the Trading Board fights and shifts with the position up or down.

This presentation is by far the most common and also for uninitiated in financial trading people very easily understood. Wealth of information missing here at the expense of clarity

In line chart only the closing prices of a period of time will always be entered, so the movements between them so can not be traced. To identify basic price directions this nevertheless is often sufficient. But as well as the selected periods have correspondingly long (eg. One day).

Surface chart
The difference between area chart and line chart is quite manageable. The history of the course is again shown as a single line that is created by combining the closing prices. Unlike the first variant, however, the surface has under this a different color than the area of it. Thus the way is somewhat clearer. Much more information on his trading strategies is not won it but also why experienced traders tend to use the more complex chart forms.

Bar chart
you can correctly enter into the chart analysis field with the bar chart. This can already be much more than the first two statements are true forms. Instead of a continuous line is working here with individual beams (e.g .: day, hour or minute) each represent a selected time period. Highs and lows are represented by the end points of the vertical beam. At the same time there is a horizontal line on the left side of the opening, and on the right side for the closing price within a phase.

This form of presentation is therefore not just about the final value of each period but also provides several information. Whether the course is total has increased or decreased within a period can be seen in the color of the bar. In this case the Plus bars are blue and minus bar green.

Candlestick chart
At first glance, the candlesticks trading newbies will probably leave something helpless, for they are much more complicated than the simple lines. But who she once saw through it wants to miss in no case more for its analysis.

As with the bar charts here the price movement within a time period with a column appears. Between opening and closing price is a rectangle that tracks the amount of the difference between forms. The peak value is represented by a line at the upper end of the line for the minimum value is at the bottom at the end.

This form of the rectangle with a small bar at the end of the candlestick chart also got its name. Consequently, the top line is also called the wick and the lower fuse. But the candles can do even more. By the color of the rectangle ( ‘body’) is the trader the direction of the price movement within the phase display. In most cases there is a green or white candle that the closing price is higher than the opening price. Black or red often, however, shows a price decline. In this illustration, the growth candles are blue and the loss candles white with green trim.