BAR Chart , line chart and candlestick chart

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by Masswaveindia

Type of charts

There are various types of charts with different structures. However there are 3 main designs which we need to know.

  1. Bar charts.

These as the name donates are having bars donating the time period. The time period as discussed before can vary according to the period chosen.

Please find an example of the bar chart below.

In the bar chart above , one bar as an example has been encircled. As labeled

open is the bar to the left

high is the highest point

closing is the bar on the right

low is the lowest point

This becomes more clear when we see each bar individually as above.

Now the bar charts are the oldest form of chart depiction even older than the now very popular candle stick charts. Which type of charts you use is a matter of preference.

Below are some forms of bar patterns which were widely used and still used by some old timers

UPDAY

In an upday pattern the high and the low of the present bar is higher than the previous bar.

DOWN DAY

In a down day the high and low of the present bar is lower than the previous bar

INSIDE DAY

In the inside pattern the high of the present bar is lower than the previous high and the low of the present bar is higher than the previous low, then it is called a ‘inside day’

In the ‘out side’  day pattern  the high of the present bar is higher and low is lower than the previous bar.

 

 

 

 

 

 

LINE CHART

This is the simplest . a single line passes through the closing of each time period chosen.

 

Candle chart

 

 

 

 

 

 

 

 

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