Technical analysis is a popular way to measure and predict the performance of an asset or stock. In order to analyze price movements, you need to understand the different types of charts available to get the most out of your trading experience. Most platforms offer multiple chart and analysis types that can be quite confusing.
The team at TurboXBT have focused on the three most popular ones, ensuring trades have access to all the basic tool needed to trade conveniently and profitably on the platform,
In this article, we’ll take a look at each type of chart in more detail, show you some examples, and soon you’ll be trading like a pro!
Types of Chart on TurboXBT
Line Chart
Line charts are the most commonly seen in technical analysis. It displays the movement of prices over time, highlighting the current price in red. If the line is rising, that means that the price is increasing; if the line is sloping down, this indicates a down trend.
This type is one of the easiest for beginners ti understand as it displays a clear overview of the current market direction, making it simple to determine if the price is rising or falling.
Japanese Candlesticks
As the name implies, this char originated in Japan, and is just as popular as line charts, if not more so.
They offer a slightly more detailed view of the market. Each candle represents the open, high, low, and close values over specific periods of time. They can be displayed a multiple time intervals such as minute-by-minute, or every 30 minutes, weekly, and all the way up to yearly.
Each candle has its own size and colour. The size indicates the strength of the movement, and the colour shows the direction of the market. Green candles indicate periods of buying, and red indicates a period of selling, the sizes of each candle is relative to the dominance of buying and selling in that time.
Japanese candlesticksalso have a thin line coming out the top and bottom of each one, these are known as a ‘wick’ and they display the highest and lowest buys/sells in that period.
Bar chart
These are similar to the Japanese candlesticks, though there are small differences to note. With bar charts, you can see the opening and closing prices, as well as the highs and lows of the selected period of time. The bottom of the bar displays the lowest trading price, and the top indicates the highest trading price. The opening and closing prices are displayed by the horizontal marks on the left and right of the vertical bar.
What works best for you?
Our goal is to make sure our users have access to the most useful tools available. With this aim in mind, our decision to leverage the three most commonly-used charts on the platform, giving you the edge you need to make great trades.
