Trader Resources : Reading Bar Charts
Many analysts look for patterns in bar charts to make an educated guess as to how the market is going to move. We will discuss some of the more popular patterns here. Reading bar charts is simple. For each day, the price is charted using a bar that shows that day's trading range and the close price. The example below shows the makeup of each bar:


Makeup of a barchart tick.

Some charts also show the open price on the tick, denoted by a horizontal line on the left side of the tick.

The following sections explain bar chart patterns in further detail:

• Day Patterns
• Support, Resistance, and Trends
• Chart Indicators

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