{"id":33177,"date":"2011-11-15T10:58:00","date_gmt":"2011-11-15T05:28:00","guid":{"rendered":"index.php\/2011\/11\/15\/technical-analysis-of-the-financial-markets-ch-3\/"},"modified":"2011-11-15T11:05:43","modified_gmt":"2011-11-15T05:35:43","slug":"technical-analysis-of-the-financial-markets-ch-3","status":"publish","type":"post","link":"https:\/\/stockviz.biz\/index.php\/2011\/11\/15\/technical-analysis-of-the-financial-markets-ch-3\/","title":{"rendered":"Technical Analysis of the Financial Markets: Ch 3"},"content":{"rendered":"

This is a review of the third chapter of John J. Murphy\u2019s Technical Analysis of the Financial Markets.<\/em><\/p>\n

Chart Construction<\/h3>\n

The daily bar chart is the most commonly used chart amongst technical analysts. It\u2019s called a bar chart because each each day\u2019s range is represented as a vertical bar. \"image\"<\/a><\/p>\n

StockViz uses a variation of the bar chart called the candlesticks. <\/em>These charts can be constructed for any time period. For example, one line can represent an entire week\u2019s action with the H<\/strong>igh L<\/strong>ow O<\/strong>pen C<\/strong>lose representing the week\u2019s price movements instead of a day\u2019s.<\/p>\n

We have covered candlesticks<\/a> before, it would be worth the effort to have a brief look at it before proceeding to the next chapter.<\/p>\n

<\/em> <\/p>\n

Up next: Trend Spotting<\/em><\/p>\n

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