Stock Charting Tools
Charts are graphic representations of stock price moves over various time periods. There are several schools of charting and a growing arsenal of online software charting tools designed to help investors analyze charts.
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Inputs
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Inputs, or the data used to construct charts--such as streaming quotes, historical data, averages and indicators--are critical in analyzing charts based on selected criteria. For example, you cannot view a 10-year chart if the provider only offers three years of historical data.
Types of Charts
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Inputs can be converted into various types of charts, such as line, bar, OHLC (open, high, low, close), candlestick or P&F (point and figure); intraday, daily, weekly or monthly; arithmetic, logarithmic or semi-logarithmic; static or interactive.
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Chart Analysis Tools
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Chart analysis tools (MACD, Bollinger bands, moving averages) can be graphically superimposed on stock charts based on selected parameters or formulae for a more detailed analysis.
Annotations
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Some charting software allows investors to draw trend lines and make notes on individual stock charts and store them for future reference.
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References
- Photo Credit businessman image by Svetlana Gajic from Fotolia.com