Stocks & Commodities V. 32:7 (18-25): Exploring Charting Techniques, Part 1 by Sylvain Vervoort

Stocks & Commodities V. 32:7 (18-25): Exploring Charting Techniques, Part 1 by Sylvain Vervoort
Item# V32C07_807VERV
Availability: In Stock

Product Description

Exploring Charting Techniques, Part 1 by Sylvain Vervoort

Bars, Candles, or Bricks?

What type of chart should you be using? Lines, bars, candlesticks… there are so many choices. In this first part of a six-part series, an overview of charting styles is presented that may help you make the right choice for analyzing the markets.

Many types of charts are available to the trader. Here, I will look at the most common ones as well as some special ones. I’ll look at their specific application as well as their advantages and disadvantages. Later in this series, I’ll look at different technical analysis techniques that can be applied to charts.


Line charts are not as popular as they used to be. They were the basic charts used prior to the advent of the personal computer. Stock price data was written down manually, and usually only the closing prices were plotted.

Line charts are created by connecting a series of single data points, usually closing prices, with a line. It is the most basic type of chart used in finance.

The line chart you see in Figure 1 is a 30-minute chart of the EUR/USD pair for a 24-hour period. A line chart that uses closing prices does not always show clear price support & resistance levels, and drawing trendlines is no easy task. Since the open, high, and low prices are missing, you are not able to see the full range of price movement within the selected time period. Personally, I see no advantage to using line charts.

*Note: $2.95-$5.95 Articles are in PDF format only. No hard copy of the article(s) will be delivered. During checkout, click the "Download Now" button to immediately receive your article(s) purchase. STOCKS & COMMODITIES magazine is delivered via mail. After paying for your subscription at users can view the S&C Digital Edition in the subscriber's section on

Take Control of Your Trading.
Professional Traders' Starter Kit
All these items shown below only $299.99!
  • 5-year subscription to Technical Analysis of STOCKS & COMMODITIES, The Traders' magazine. (Shipping outside the US is extra. Washington state addresses require sales tax based on your locale.)
  • 5 year access to S&C Archive
  • 5 year access to S&C Digital Edition
  • 5-year subscription to Advantage.
  • 5-year subscription to Working Money.
  • Free book selection.
  • Click Here to Order