Technical analysis is the art and science of reading the price chart, allowing you to determine which adherents of which camp are winning at any given moment. Types of graphs In the technical analysis, three types of graphs are most often used: Linear graphs: The simplest schedule is linear. It shows the closing price, formed in each specific period of time. However, it is completely useless if you want to know from what price the given period of time began, and how intense the struggle was. Column charts: On the bar charts, we see vertical bars that show extreme values, i.e. the highest and the lowest prices achieved for a particular period. And the dashes on the sides indicate the beginning and the end of this period. The larger the size of the column, the more actively the struggle is fought. A small column shows that peace and harmony prevails in the market, and there are no special disagreements about the price. In addition, this graph allows you to understand whether the opening and closing of the period occurred closer to the lowest or highest price, or somewhere in the middle. Candlestick charts: Candlestick charts were first used in Japan in the 12th century, when traders tried to anticipate the price movement in Fig. Then it became clear how accurate the information obtained with their help could be. Like the bar charts, they show the opening, closing, upper and lower levels of each specific period. In addition, they can immediately give you an answer to the question: "Who wins?", They are still able to show you who is stronger. All this is due to easily recognizable features, such as body size, shadow length and, finally, color.