Some analysts ( cashbackf cashbackforexcalculatorOnlineexpipcalculator also algorithmic traders) use only numerical tables that fit into formulas, but most technical analysts use cashbackforexprofitcalculators as the most basic chart in their workspace with a line connecting prices between the same time intervals (whether hourly, daily or other time periods) Usually, line charts use the interval cashback forex as the most representative overall trader sentiment for the previous period. Th cashback forex calculator Online is obviously more applicable when the chart close coincides with an important point in time, such as the actual close in a particular market. For example, in FX futures, the Chicago Mercantile Exchange has a "clearing" close that is used to liquidate trades made by traders at the close and to create trades for the next session based on market value. In contrast, traders do not care if the 10:00 close is different from the 10:05 close (5-minute interval), or the 10:00 close from the 11:00 close (hourly interval) In other words, the daily close is more important as a bellwether of market sentiment than the hourly close because spot FX traders operate 24 hours a day. Since spot forex traders operate 24 hours a day, the definition of open/high/low/close is somewhat arbitrary Usually, data providers such as eSignal, Bloomberg and Reuters consider the forex market to open at 18:00 EST in New Zealand and close at 17:59 EST in New York Therefore, the daily line chart uses the closing price as the New York closing price Our Trading Session The course provides more information about when the market opens and closes. The characteristics of a line chart are the same as those learned in elementary school science class. It consists of two mutually perpendicular axes, the horizontal or x-axis representing time and the vertical or y-axis representing price. The term tick is used to refer to several different events in a trade, so it is wise to use this term sparingly and only when you are 100% sure that you can apply it correctly For example, a tick is more widely used to define the smallest change in price that a security can move In spot and futures forex, although the dollar value of the tick is the same in both markets, the decimal point is quoted Usually 0.0001 or 0.00001 To avoid confusion, when it comes to tick points on a line chart, most analysts will refer to them as price points or data points, rather than tick points The main advantage of line charts is that simple line charts provide a simple way to visualize the change in value over time The following EUR/USD line chart uses the daily closing price as the Without adding any other indicators, you can instantly see a broad uptrend as of May 2014 EUR/USD Daily Rate Line Chart Example The main advantage is also the main disadvantage Line charts lack detail and nuance You can get a general idea of the trend at a glance, but you cant get a "feel" for how the trend is The line chart here may integrate several days of data and the range between highs and lows is the same or almost the same on those days, or the range between highs and lows is only wide on a few days but very narrow on most days. We read trader sentiment through the high and low ranges. The absence of this information is a disadvantage of line charts and you have to stop and re-examine the four pullbacks in the line. The following pip chart shows the same data as the line chart, but in a format that emphasizes that each new high (X) is accompanied by a higher low and each retreat (O) is no lower than the lowest X column, with one exception to the pip chart view of the same EUR/USD daily chart, where we expect retreats to be no higher than the last of the X up columns as a rule of the pip chart This helps to set stop-loss levels. Today, the pip chart has largely faded from view and is still used by perhaps only a very small number of traders, but it can be used as a comparison chart to the line chart and shows that other forms of charts can provide more information
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