Forex Technical Analysis: Basics - Part 2 | Vantage FX UK

Vantage FX (http://www.vantagefx.co.uk) looks at different chart types and what traders can decipher from them.

Bar Charts

This is a chart that plots price movement on a vertical scale. It plots the highest and lowest price during the time period of the bar. Some bar charts will have a 'tick' that shows the closing price of the bar. An opening price can also be incorporated with the opening price on the left of the bar chart.

The bar chart provides more information than the line chart but doesn't provide as much as the candle chart. The bar chart will be the 'simplified' version of a chart formation required to use in technical analysis.

Bar charts don't publish data or gaps for a weekend but will do so for public holidays were there is no trading, such as Christmas and New Years day. This creates a 5-day week for almost all weeks in the year.