Forex Chart Types

LINE CHART

• Considered the most simple chart, based on closing prices over the desired time period.
• The assumption underlying this chart is that the most significant price is the closing price - we only refer to the "bottom line"
• Better for long-term trading
• Recommended for pattern identification

BAR CHART - OHLC

• Shows for each selected time frame the high, low, open and close prices.
• The high and low prices are shown on the bar respectively; the open price is the short horizontal line to the left and the close price – to the right.
• The major advantage in this presentation is the indication not only of prices, but also of the trading range for the given time frame.