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What is a bar chart?




A bar chart is a very popular graph type for stock investing. In this chart every day is plotted showing its open price, closing price, days low, and the high. There are 2 different types of these bars. These are the bars that show an up day and bars that show a down day.

The bar charts are similar to candlesticks in principle but different in appearance. It consists of a long horizontal line. The top of the line represents the price the stock was trading at when it was at its highest. The bottom of the line represents were the price was when it was at its lowest.

There are also 2 lines sticking out of them. The one that starts from the line and goes right represents the price the stock was at when the market opened. The one that starts from the time line and moves right is the price the stock was trading at when the markets closed.




Obviously if the stock closed at a higher price then it opened at the stock had an up day vice versa. Here are 2 examples. One with shows an up day the other shows a down day.



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