Reading Bars

Reading bars is one of the most popular methods of charting and financial market analysis, second only to candlestick charting. This method is popular because the simple graphic depiction of the day’s trading makes it easy for traders to identify and predict trends. Here are the basics of reading bars.

Know the time frame. A bar may represent a day, a week, or even five minutes.

Know what the vertical length of the bar represents. Generally, the length of the vertical bar [...]