#graficos $BTC Guys, I left some charts here. Which one do you analyze to make your decisions before buying any coin?
Candlestick Chart: This is the most popular and informative chart. Each "candle" represents a period of time (for example, 15 minutes, 1 hour, 1 day) and shows the opening, closing, high, and low prices during that period. The color of the candle's body indicates whether the price closed above (usually green or white) or below (usually red or black) the opening. The "shadows" or "wicks" show the highs and lows. Candlestick patterns can indicate possible reversals or continuations of trends.
Line Chart: A simple chart that connects the closing prices over time. It is useful for visualizing the overall trend but loses information about volatility within each period.
Bar Chart: Similar to the candlestick chart but represented by vertical bars. The top of the bar is the high, the bottom is the low, and small ticks to the left and right indicate the opening and closing prices, respectively.
2. Volume Chart:
Volume Bars: Usually displayed at the bottom of the price chart, volume bars show the amount of cryptocurrencies traded during each period corresponding to the price chart. An increase in volume during a price movement may indicate greater conviction in that direction. Divergences between price and volume can signal weakening of the trend.
On-Balance Volume (OBV): This indicator accumulates volume on up days and subtracts volume on down days. It helps identify whether the volume is confirming the price trend. If the OBV is rising while the price is moving sideways, it may indicate hidden buying pressure.
3. Trend Charts:
Average Directional Index (ADX): Measures the strength of a trend, regardless of whether it is bullish or bearish. A high ADX reading (above 25) indicates a strong trend.