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As Seen On ...
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Getting Started: Understanding Charts |
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Understanding the Stock Chart 1. Numbers on the bottom of the chart represent points in time. 2. Numbers on the left of the chart represent the price of the stock. |
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Understanding the Stock Chart 3. You will notice as this stock moves from week to week it will reach new highs and then back down to a low. 4. The distance between the high and bottom price is known as the price range. A stock's range can be looked at in terms of days, weeks, months or years. The above stock shows a three year range of $6.99 to $25.13. |
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Understanding the Stock Chart 5. You will notice as the price range goes from week to week, it reaches new highs and new higher lows. It is important that you understand the emerging growth stocks we provide for you are companies that reach higher highs and higher lows. |
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Understanding the Stock Chart 6. Now when you look at the chart you will see a line connecting the higher highs and higher lows. 7. The most important line you will use will be the line between the higher high line and the higher low line. This line will be known as the Moving Trade Line. It is on this line that all prices for buying and selling of stocks will be made. If you wish to see an Example Practice Trading Sheet - click
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