• Trade Now

Forex Charts

Written by ForexCult Team
Rate this item
(0 votes)
Forex Charts In the following article, we are going to discuss the types of forex charts. Keep in mind that if you haven’t took the time to learn about the fundamentals and the basics of the forex market that you should take the time to read over them and get acquainted with them before you take a move to forex charts. The reason that I say that is because you need to make sure that you are learning everything in an order so that you don’t get mixed up and confused when you move to another topic of the forex markets. Different Types of Forex Charts When it comes to forex charts there are three different types of forex charts that are known to be the most popular. Among the most common forex charts you will find the line chart as well as the bar chart and also the candlestick chart. In this article I am going to tell you about each one of these charts so let’s get started with the line charts. When you look at a line chart you will see that there is one simple line that is drawn from the closing price to the next actual closing price. When the two prices are attached together by this line you will be able to see the actual general movement of the price of that particular currency pair which takes place over a certain period of time. When you take a look at the bar chart which is a type of forex charts, you will see that it to also show the closing prices while it also shows the opening prices as well along with the highs and also the lows. You will also notice that the bottom of the actual vertical bar is used to indicate the lowest actual price that was traded for a certain time period; you will also notice that the top of the bar is going to show the highest actual price that has been paid. So basically, you will see that the forex charts that are bar charts are known to show the trading range as a whole. However you should also keep in mind that the horizontal hash that is located on the left side is used for the opening price and in turn the horizontal hash that is located on the right side is used for the closing price. Forex Charts and Candlestick Charts As you can probably tell by now there is three major types of forex charts that are used in the forex market, the last one is known as the candlestick chart. You will notice that this type of forex charts is known to be like the bar chart because it shows the actual same information, however you will find that information in a much prettier format that is graphic. The actual high to low range is indicated by a vertical line on theses types of forex charts. However you should note that the larger block that can be found in the middle of the chart is used to represent the opening as well as the closing prices. If you notice that the block is colored in you will know that the currency actually closed at a lower price than what it opened at and if you notice that the block is white or unfilled that will mean the closing price of the currency was in fact higher than the opening price. When it comes to the candlesticks charts you will find that there are many advantages of these forex charts. The first advantage that you will have is that it is very easy to understand and interpret and they are actually a nice place for a starter to actually take their first steps in trying to figure the chart analysis out. The second advantage that you will have is that they are actually easy to use because of the fact that you are able to note right away with your eyes what the chart is trying to tell you. Another advantage that you will have is that the candlestick forex charts are known to have nicknames that are easier to remember when it comes to what the actual pattern means. Another advantage that you have is that these types of forex charts are known to be good at being able to identify the turning points of the market. Now that you have taken the time to learn about the forex charts you need to find which one you are able to understand better.

Add comment

Currency converter


Which is the Best Forex Broker you have traded with?

Interview with Matthew Sheppard

Senior Forex Advisor at XForex

1. What is your name and position?

Hello, my name is Matthew Sheppard and I am a senior forex advisor at XForex.

2. What is your experience and professional background?

In the last 6 years I had filled several positions in financial institutions such as a stock broker, a foreign exchange desk manager, a financial consultant and in my recent role I serve as a senior Forex advisor for XForex which is an online forex company.

3. What type of clients you deal with?

We deal with clients on all levels from the beginning stages to the more advanced trading levels.

4. Does most of your business activity come from the online or offline world?

Because of our high presence on the web, most of our business comes from the online world.

5. Why should a trader pick XForex from all forex brokers?

Aside from all the benefits that XForex offer like commission-free trading, 24/7 online support, high leverage (200:1), XForex offers educational and learning trading experience that you won’t find anywhere else..

Our team of experts and financial trainers provide personal assistance and guide clients to financial success. We provide daily analysis and market reviews to our clients giving them a better understanding of the market and helping them trade profitably.

6. From your experience, what advice would you give a person who wants to enter the forex world?

My advice to the beginning trader entering the Forex world is as follows:
  • Learn the market and understand what you’re getting into.
  • Research and find the broker that suits your needs and wants. Look for a good offering but more importantly customer service, don’t go for the low rates offer without being certain they have a good customer service department. From my extensive experience in the Forex world your key to success will be your client-broker relationship. I can honestly say that at XForex they put an emphasis on servicing clients, which is so important.
  • Invest smartly and calculate your risks.
  • Always know when to get out of a trade.

Broker of the Month

5_small_logoUFXBank provide up-to-date charts and news feeds, coupled with an easily navigated trading platform. UFXBank traders can access the biggest market in the world 24 hours a day with ease.

By keeping their platform, site and deposit process simple, safe and secure, UFXBank have become the web’s premier online forex trader.