An essential part of making money in the stock market is the ability to use technical analysis to read a stock chart. A simple price graph can provide much information about a stock's potential profitability and may help a BetterTrades student complete a better trade. While Real Time Markets is best known for its direct-access trading platform, it is equally versatile and useful when it comes to the better charting choices that are needed to be successful.
BetterTrades students in pursuit of a better charting picture will be able to take advantage of Real Time Markets for its historic and streaming intraday charts. Both are needed in order to make a proper technical analysis.
A historic chart permits the user to see how the stock has fared on a daily basis over the last year, a weekly basis over the last five years, and a monthly basis over the last 10 years. It is best used to provide a wide picture of how the stock has performed. These charts can be viewed as a line chart, bar chart or candlestick chart, depending on the user's preference. Various indicators, such as Bollinger Bands and moving averages, can be added to the screen. Once the volume bars are placed on the bottom portion of the screen, it's easy to obtain better charting information.
The intraday charts are especially important when the market is open. BetterTrades users have the option to see the charts in the same format as the historic charts (lines, bars, candlesticks) and may designate the time period that each point on the chart will cover. For better trading, most veteran traders will use candlestick charts set at 3-minute or 5-minute intervals. Real Time Markets allows its users to look at intraday charts from the past 30 days, which permits traders to get a better idea of any trend that may be in place. Another option permits the user to include or exclude pre-market and after-market trading results by checking a box.
Indicators may also be added to the intraday charts. These can reveal potential entries and exits that might not be visible when looking at a daily chart. The rallies and downtrends observed by BetterTrades students using intraday charts can lead to additional profits or help escape a bad trade with a smaller loss.
Options for the intraday indicators include trend lines, parallel lines, Fibonacci lines, Gann fans, regression lines, and up and down markers. These sort of better charting options can enliven the trading prospects of any BetterTrades student.
Although it won't have any effect on the bottom line, the colors of the historic charts and intraday charts can be changed to match personal preference. Like to see bullish candlesticks filled in red? Simply change a few settings. Prefer to see them in blue? That's easy enough, too. Users can designate the colors they like for moving averages, Bollinger Bands and other indicators. And if you change your mind, it's simple to return to the default settings and start all over again. Users may also determine the background color of the screens and the type that goes on top of them.
