What kinds of charts exist
There are several types of charts: line chart, candlestick chart, bar chart, etc. In most cases, professional traders use a candlestick chart. It is the most illustrative and allows you to read more useful information. Let’s dwell on it in more detail. That kind of chart is of Japanese origin and consists of Japanese candlesticks that show the opening and closing prices of the period (candlestick body) and the highest and lowest prices for that period (candlestick shadows). If the asset price moves up, and the candlestick closing price is higher than the opening price, then in this case the candlestick will be colored green, such candles are called bullish. Conversely, if the close of the candle is lower than the open, then the candle will be colored red and will be a bearish candle.
Candles with these periods are available on the FYBIT platform:
- 1 min, 3 min, 5 min, 15 min, 30 min (Minute charts),
- 1, 2, 4, 6 hours (Hourly charts),
- 1 day (Daily).
What is a timeframe
When we talk about any chart, we must take into account the timeframe. We can guess the meaning of this word if we disassemble it into its components: time and frame. In other words, this is the time period that we can see and analyze within the boundaries of the screen at one moment. Periods are usually denoted in Latin letters.
- M – minute
- H – hour
- D – day
- W – week
- Mn – month
As a rule, the timeframe is used in the name of the price chart. That is, the one-minute timeframe displays a part of the chart, each candle of which is formed on the basis of 1-minute data. The hourly timeframe displays a fragment of the chart, where each candlestick is formed in 1 hour, and so on.
You can switch timeframes in the upper right part of the chart, and chart types in the upper left part of the FYBIT chart.
- For long-term trading, timeframes from 1 day to 1 month are considered suitable.
- For traders who prefer to be in a trade from 1 day to several days, the most popular timeframes are 1 hour and 4 hours.
- For intraday trading, timeframes of 5 minutes, 15 minutes and 30 minutes are ideal.
- Smaller timeframes are the scalping area, where the trader’s strategy is to execute many trades with little positive or negative results throughout the day.
How to use indicators
The most frequently traded indicators have been selected for use on the FYBIT platform. To choose the required indicator, click on the “Indicators” button in the upper left corner of the chart and select an indicator from the list. You can have an unlimited number of indicators available for simultaneous use. In addition, working with chart data is absolutely free.
How to draw on a chart
All available drawing tools are located in the panel on the left. They are divided into subgroups depending on the type of instrument. For example, the third subgroup contains tools for drawing a “Pitchfork” and “Fibonacci”, and in the seventh subgroup, you can find “Long position” and “Short position” instruments, thanks to which you can calculate the risk/reward ratio in a trade, make a forecast of price movement and monitor its implementation.
Of the many useful drawing tools, we can distinguish a “trend line”, “extended line”, “parallel channel” and “horizontal line”. Thanks to them, it is very easy to find trends and price movement channels, mark technical analysis patterns, and have strong support and resistance levels. There is also an option for textual markup on the chart. For this, the tools “Text”, “Note”, “Callout” and others are used.
If you want to clear the chart from all records, right-click on the chart and select “Delete drawings”.