Staring At Candlestick Charts...

Staring At Candlestick Charts...

By SBenbow | SBenbow | 19 Apr 2021


How many of you out there stare at candlestick trading charts all day?

I've found it's a lovely way of wasting some time away.  Is it ticking closer to my sell line, or away from my sell line?  How many transactions are taking place?  How much volume is being sold?

At the end of it, I still don't really understand what it means.  It's just a nice way of passing some time.

Here's an example.  This is the candlestick chart of ATOM/USDT that I've been staring at for the past 10 minutes. 

540b0e5e906f593c459828b6b80c79699c127ef19ade83b7989a1e93417e85b8.jpg

What is it telling me (apart from the fact that my "sell" price is still to be achieved)?

Is the market going up, or going down?

I had heard that the way to draw a trend line is to join the bottom troughs together.

BUT - and here is the quandry - which ones?

One line tells me that it is going down (01).

The other line tells me that it is going up (02).

bc82504b0dbdedef29103c20e853173cb45105395d319d246155374653dc63fd.jpg

Or is it just telling me that the market is volatile at the moment?

Do I dare put some science behind it, or do I stick to gut instinct?

It would be great to hear from some of you more experienced traders as to how you interpret the graphs.  For the time being, I'll continue to (happily) spend my time looking at the ticker as the numbers come in ... a bit like the football (soccer) scores on a Saturday afternoon.

 

Note : All of my articles are my own work and relate to my own personal experience.  Investing is always at your own risk.

 

 

 

 

How do you rate this article?

2


SBenbow
SBenbow

New to crypto and mining, but wanting to learn more about the market and how it works.


SBenbow
SBenbow

Hi, and thank you for reading my blog. I am a newbie at Crypto. Now that is out of the way I'd like to share what my goals are. They are very basic. 1) Understand what Crypto is and how it works 2) Understand how I can invest without being charged lots of fees to deposit, withdraw, or exchange currencies 3) Understand how volatile the market is, and whether it can be a good short or long term investment Hopefully my experiences will then be able to help other newbies understand more about Crypto!

Publish0x

Send a $0.01 microtip in crypto to the author, and earn yourself as you read!

20% to author / 80% to me.
We pay the tips from our rewards pool.