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SmartTrader Just Got a Whole Lot Smarter: Introducing Our NEW Website

Whether you’re trading, charting, or simply scrolling through our website, we wanted the process to be as user friendly as possible. That’s why we revamped our entire site. Let’s take a look under the hood, shall we? First, we replaced the old way to get started...

10 SmartTrader Tools to Succeed

At the heart of success in trading is making effective and efficient trading decisions. That’s the secret! If you have the tools at your disposal to help you make well-timed, reasoned trades that pay off big, you could see wins time and time again. But wrapping...

Q&A with Ryan Ruscett/CTO

Earlier this summer, we announced our new Chief Technology Officer, Ryan Ruscett. In between his busy schedule, we were able to catch up with Ryan and chat about what he wants to accomplish at SmartTrader, oh, and horror movies too. Q: Understanding you just joined...

3 Charting Tricks Every Trader Should Know

3 Charting Tricks Everyone Should Know. Trading is rewarding, there’s no question about it. The satisfaction you’ll find from making a good trade, watching your investments grow and learning to trust your decision-making skills is enormous. But the technical...

Can Anyone Become a Trader

Can Anyone Be a Trader? The short answer: Yes, anyone can be a trader. But that doesn’t mean everyone should be a trader, or that everyone has the strengths it takes to stay in the game for the long haul. It’s important to do some introspection before making your...

Trading Room Community Rules

SmartTrader Trading Rooms are designed to provide an interactive outlet for traders to connect with others around the globe, share ideas, and learn trading strategies, market opportunities and more. It’s important to us that a safe space is maintained for you and...

SmartTrader Announces New CTO

SmartTrader announced today that Ryan Ruscett has joined the company as Chief Technology Officer (CTO). As CTO, Ruscett will lead efforts to strengthen SmartTrader’s technology focus and accelerate the cloud-enabled SaaS charting platform and trading solutions....

Trading Your Way

In honor of 26 years changing the lives of traders around the world, your favorite trading experts are sharing unique techniques and strategies for every type of trader at this incredible virtual event! This year's rapid market action has provided a nearly endless...

SmartTrader to Perform Broker Name Service Maintenance

As part of continuing efforts to provide users with a reliable, streamlined experience, SmartTrader will be performing maintenance on the broker name service list starting June 16.

Forex Charts Can Set the Right Course

Every successful Forex trader relies on Forex charts to help them understand the current nature of the market so that they can make successful and lucrative trades. The right chart with the right information is like a map, telling the trader what has happened and where the trends are pointing.

Why Traders Use Forex Charts

A Forex trader needs information in order to understand what’s happening in the currency markets. They can then use that information to make educated and high-percentage trades. 

Forex charts are an information goldmine, because they actively track the performance of currency pairs, or the value of one currency against another. Forex charts tell investors whether a currency pair is going up or down and how a currency pair has performed over a certain amount of time.

A highly skilled investor can use this information to understand important valuation trends and how a currency pair’s performance is tracking with a wide variety of indicators.  Visually, a chart is much easier to act upon than simple numbers, but there are still keys to learning how to read them effectively so that a trader can act instantly.

How to Read the Numbers Like a Pro

Forex charts can be plotted as:

  • Line charts
  • Bar charts
  • Candlestick charts

In the Forex realm, the candlestick chart is the most popular and widely used option. Initially, a candlestick chart may seem confusing, but as you get more comfortable with Forex trading, you’ll be able to look at a candlestick chart and instantly gather lots of information.

In a candlestick chart, each “candlestick” represents a length of time. The size of the candlestick’s body indicates how much a currency pair increased or decreased over that period of time. 

If the candlestick is green, it means the currency increased in value. Red candlesticks mean the currency lost value. The “wicks” or lines at the top and bottom of the candlestick show what the highest and lowest prices were within that period of time.

One great way to see examples of candlestick charts is to use SmartTrader, which includes them in its free plan

RELATED: The Best Forex Charts Add Extra Tools

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