What are Charts?
A trading price chart is a representation of a series of prices plotted on a graph as a chart representation of price movements.
This trading price movement is then drawn over a period of time & this chart price moves drawn on the chart can be used to analyze the movement of a particular xauusd instrument so as to determine if the trend for that xauusd is down or up.
Price Charts
A trading price chart provides a representation of exchange rates (drawn on the y-axis) against time (drawn on the x-axis) for xauusd.
The movement of prices is plotted on these price charts. The chart can be drawn as candlestick trading price charts like the one below or as line price charts or bar price charts.
What's a Price Chart? - What are Charts
Technical analysis of charts is then applied to these charts by using tools provided by software. For example MetaTrader 4 platform provided indicators & line studies which can be used to analyze these charts.
Charts also can be drawn using different timeframes.
The different time frames are used by different types of traders.
For example:
- XAUUSD scalper use the 1 minute chart timeframe and the 5 minute chart time-frames
- day traders use the 15 minute chart timeframe and the 1 hour chart time-frames
- XAUUSD swing traders use the 4 hour time frame & the daily timeframes
Trading Chart Time Frames on MT4 Platform
Periodicity just means time-frames, in MT4 platform this charts time frames toolbar is used to select which chart time frames to trade with.
Price Chart Timeframes - What are Price Charts?
The price charts - chart timeframes listed on the MetaTrader 4 platform are:
- 1 Min - M1
- 5 Min - M5
- 15 Min - M15
- 30 Min - M30
- 1 H - H1
- 4 Hours - H4
- Daily - D1
- Weekly - W1
- Monthly - MN
Type of Price Charts
The three common types of price charts used in xauusd are:
- Candlestick Price Charts
- Line Price Charts
- Bar Price Charts
These 3 types of price charts are discussed in the tutorial Gold Chart Types.
