FX Market_5. Charts

Lesson 5: Charts

Whichever trading style you choose, be it positional trading or intraday trading,
everything begins with charting.
In the western world, the use of charts is somewhat new. US stock exchanges has
only been employing charts for a little more than a century, although records in the
Far East showed price quotes in the form of candlesticks going as far back as 300
years.
Besides knowing basic patterns, it is also important that you familiarize yourself with
the supply and demand forces that warp their fabric. Technical traders do not only
observe candlesticks. They also rely on charting patterns, such as support and
resistance lines, trend channels, triangles, flags, and a lot more.
Keep in mind as well that supporting frameworks are not meant to forecast future
market movements. They're just there for your convenience and your better
understanding of previous movements The same chart could appear to contain
several patterns to various traders, or sometimes to the same trader, creating
different signals.
That's why you should not mainly based your decision on supporting frameworks, but
on supply and demand instead.