Maps for technical analysis
Friday, 8 August 2008
Types of prices and units of time. Maps for technical analysis are under construction in coordinated price (vertical axis) time (horizontal axis). The following types of currency prices represented on maps are distinguished on Forex:
* Open - a price at the beginning of a period of Commerce (year, month, day, week, hour, minute or a certain quantity of one of these units);
* Close - a price at the end of a period of commerce;
* High - the highest starting price observed over a period of commerce;
* Bottom - the lowest starting price during a period of commerce.
Provide technical analysis using graphs for the different units of time of 1 year or more, up to 1 minute. The most important thing is a unit of time to implement the graph plotting the biggest is a time to analyze price movements and to determine the major trends through the card. In the short exchange of graphics for units less time are more appropriate.
Line graph. The graphic line is drawn between the single price for a selected period. The most popular graphic line is the one day pass. Although any point during the day can be traced, most traders focus on the closing price, which they perceive as the most important. But an immediate problem with the line graph daily is that it is impossible to see the price of activity for the remainder of the period as well as gaps breakups price attached to the trade periods. Nevertheless, linear graphs are easier to visualize. Also, technical analysis goes well beyond training chart to execute certain models and techniques, line charts are better suited than any of the other tables.
Bar. The chart is composed of separate histograms. To plot a histogram time coordinated price points that meet the high, low, opening and closing price for a period should be marked with a vertical bar. The opening price is usually marked with a horizontal line just left the bar and the closing price is marked with a little horizontal line to the right side. Graphics bar have the obvious advantage of displaying the currency range for the selected period. An advantage of this table is that, unlike online maps, the graph is able to chart price differentials. Hence, it is impossible to see on a bar chart absolutely all price movements during the period.
Candlestick chart. The candlestick chart is closely linked to the bar graph. It also consists of four grand prizes: high, low, open and close. In addition to lectures Commons, the chandelier table has a particular set of interpretations. This is possible through practice visual observation of this table.
The opening and closing body shape (jittai) chandelier. To indicate that the opening was less than the closure, the body of the bar is left blank. Current standard electronic displays let you keep a vacuum or select a color of your choice. If the currency closes below its opening, the body is filled. In its original form, the body is black, but electronic displays let you keep filling or to select a color of your choice. Intrajournalières (or weekly) towards candlestick on a table can be traced through two "shadows": the upper part shade (uwakage) and the lower part shade (shitakage). Just like a bar graph, the candlestick chart is not able to trace all price movements during a period of activity.
Labels: forex
posted by Master @ 04:44,