currency converter

Sunday 3 July 2011

Trading Chart


What is the cahart?
It is a Graph of prices (price chart - charts) is a sequence of prices painted on the given time frame
 
Technical analysts use charts to analyze the charts of many financial markets (stocks, currencies, stock market, global currency or goods that are traded in international stock markets) and the expected future price movements.
 
Using graphs charts is not limited only on technical analysis, as the graphs provide an easy way to read the graphic representation for the movement of prices of financial markets in a period of time, and have a great interest in fundamental analysis
Prices on the historical graphs charts make it easy to see the impact of major events on the prices of financial markets

 
Types of graphs (Types of charts):
There are three types of graphs used in the analysis of currency:
1 - candlestick Japanese Candlesticks Chart
2 - Drawing Bar Chart Columns
3 - draw a line graph Line Chart
 
Explains Figure 1:
draw columns on the daily frame, and are represented per day pole stands vertically on this chart, and the drawing  shows  open and close prices and the lowest price and highest price for the different  days  point mark a small protrusion on the right side of the vertical bar to the closing price (for a given day ) The main opening is tiny mark to the left of a vertical column. 
Shown in Figure 2
 How does the market with drawing the graph, and in this type of graphs is connected to daily closing prices with each other, and believed by some specialists in the study of graphs that closing prices are more price importance, so the graph is the most standards the health of activity price



Shown in Figure 3 draw  Japanese candles , which is the Japanese version to draw a bar chart, and use is becoming very common in recent years, and recorded candles Japanese the same four rates recorded by fees columns: closing price (close), and the opening price (open), and the highest price (high), and the lowest rate (low), but the visual appearance different from the fee columns, in the candles Japanese there is a thin line called the shadow (shadow) and provides the scope of daily price of the highest price to lowest price, called the bulk of the column body of the candle the truth, Its function is to know the distance between the closing price and opening price, If the closing price is higher than the opening price, the real color of the candle body is white or green candle is called a rising,
However, if the closing price was less than the opening price so the true color of the candle body is black or red and is called a  bearish  candle

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