Oil Trading Chart Types: Line, Candle and Bar
A Oil Trading chart is a graphical representation of crude oil price movement over a given period of time.
Drawn on a grid & user is at liberty to choose which oil chart timeframe they want to trade with. Oil trader may select to use hourly oil charts, daily oil charts or even 1 minute oil chart timeframes.
To draw oil charts, 3 techniques are used. Methods used to draw the oil charts defines the type of crude oil chart.
The three types of oil charts are: - Candlesticks Crude Oil Trade Charts - Bar Crude Oil Trading Charts
- Line charts
- Bar charts
- Candlesticks oil charts - Most popular
Line Oil Trading Chart
A single line is drawn from one closing crude oil price to the next, forming a continuous line.
This type of oil chart provides very little data on the chart and is therefore not very popular among crude oil traders. In fact this type of oil chart is rarely ever used.
Line Oil Trading Chart in Oil Trading - This type of oil chart leaves out important information about crude oil price movement. Information such as opening, high & low point of the crude oil price which are not represented on the trade graph.
This makes this type of oil line oil chart to be considered sketchy by crude oil trading technical analysts.
The oil chart below shows an example of a oil line crude oil chart.
Bar Crude Oil Trading Chart
Bar Crude Oil Trade Charts - This type of oil chart shows the opening, closing, the high and the low, for a particular crude oil price interval and is represented by bars that look like the ones drawn below - hence its name bar oil charts
- Bar Crude Oil Trade Charts - bar oil chart has a vertical bar showing the total oil price movement.
- Left horizontal bar the opening
- Right horizontal bar the closing
- High & low denoted by the highest & lowest point
However, these oil trading bar crude oil charts are not very easy to work with, especially when they aren't magnified. It becomes very hard to interpret the bar oil charts with ease when trading the crude oil market thus making them not very popular among crude oil traders.
A Bar chart that is not magnified makes it hard to view the opening & closing oil price as illustrated by this example:
Candlestick Crude Oil Trading Chart
Oil Trading Candlesticks Trade Charts - This is the most widely used type of oil charts, they resemble candles, thus their name - candlesticks oil charts.
Candlestick charts shows the opening, closing, the high & low of a particular oil price interval.
The range between the open crude oil price and the close crude oil price is called the body of the candlestick.
Oil candles oil charts is the most popular type of oil charts among online oil traders because it's the easiest to interpret when trading the crude oil market. Oil Trading candlestick oil charts also gives a lot of data about the crude oil price movement. This makes candlesticks oil charts the most widely used type of charting in Oil Trading.
Oil Candlesticks Trading Charts
Below is an example of candlesticks oil charts. To learn more about candlesticks oil charts, read this topic: Technical Analysis of Japanese Oil Candles Patterns in Oil Trading.
How to Select These Oil Trading Chart Types on MT4 Software
To draw any of these types of oil charts on the MT4 Platform a trader can use the buttons below found on this MetaTrader 4 crude oil trading platform.
Drawing Oil Trading Charts in MetaTrader 4
- To Choose a Bar Oil Chart Click the Bar Button Key
- To Select a Candles Oil Trading Chart Click the Candlestick Button
- To Select a Line Crude Oil Trade Charts - Click the Line Button
