What is a Forex chart?
A Forex chart shows how the price of a currency pair has moved over time. MetaTrader 5 Help explains that charts can be displayed as bars, candlesticks or a line.
First check 1: Time
The horizontal axis shows time. Check which period of price movement you are viewing.
First check 2: Price
The vertical axis shows price. Look at the price level of the currency pair.
First check 3: Price movement
Lines and candlesticks show the course of price movements. Read the broad direction: up, down or sideways.
What is a timeframe?
A timeframe indicates how much time 1 bar or display unit represents. MetaTrader 5 offers several timeframes.
What does a rising or falling chart mean?
A rising chart means prices are moving upward; a falling chart means prices are moving downward. Also consider what the left and right sides of the currency pair represent.
What does a candlestick show?
A candlestick shows the open, high, low and close for a given period. The next article explains this in more detail.
What should beginners look at first?
Start by looking only at time, price and price movement, without adding more indicators. Avoid making the screen too complicated.
- A chart shows price movements over time.
- Beginners can start with 3 things: time, price and price movement.
- The movements you see change with the timeframe.
- Learn the basics before adding more indicators.
Summary
The basics of a chart are price, time and movement. Next, look at candlesticks, a common way of displaying a chart.
Frequently asked questions
What do you look at on a chart?
You look at how prices have moved over time.
Is a shorter timeframe better?
It depends on your purpose. Shorter timeframes show finer movements, but they can also make interpretation more difficult.
Should I use indicators from the start?
It is enough to begin by understanding the basics of price, time and price movement.