iCharts Discussions

[SID2060]

SIDDHARTH

One of the things I like best about poing & figure charts is their simplicity. Their strongest feature is that buy and sell signals are easier to spot than on bar or candlestick charts. A p&f chart shows alternating columns of X's and O's. The X columns represent rising prices and the O columns falling prices. A buy signal takes place when the latest X column exceeds a previous X column. A sell signal occurs when the last O column falls below a previous O column. Trendlines are drawn at 45 degree angles from previous tops and bottoms. A buy signal is stronger if prices are trading above the red resistance line; conversely, a sell signal is stronger if prices are trading below their blue support line. The sensitivity of the p&f chart can be altered to make it more responsive to short-term trends (a smaller box size) or for longer-range trend signals (larger box size).

I"ve adjusted box sizes to measure recent short- to intermediate- term trend signals.The BSE SENSEX Index IS also trading well above red resistance line which makes its uptrend stronger. Price of sensex indexe would have to fall below a previous O column to reverse recent buy signals.


hope that icharts.com also introduce this type of chart asap.... sid