Example: The following chart is a bar chart of Google
*courtesy of stockcharts.com
3) Candle stick charts- Originating from Japan, candlestick charts have become the most popular method for analyzing different securities. Even though they give the same information as bar charts do, their attractive form, due to their colors, have made this type of chart more appealing, allowing traders to easily understand technical analysis.
The types of candles vary on the charts due to market volatility, forming different sizes and shapes. (Candle stick types will be explained at a later stage)
*Due their popularity candlestick charts will be used for illustrations throughout this web site.
