||Part 1. Attributes of a Chart
Here is a Point and Figure Trend Chart with the characteristics
pointed out and described. We will go into detail as we continue
through the first lesson.
A Point and Figure
The trend chart depicts the price action of the stock. We call
it the trend chart because of the support and resistance lines
that determine whether a chart is above or below trend. If someone
say's "...the trend chart" you know they mean this
type of chart, this is different from an RS chart for example.
X's mean the
chart is rising
* O's mean the chart is declining.
* Never will you see X's in a column of O's or vice versa.
* Each column must have at least three X's or three O's.
|You will notice some columns have numbers or letters
in place of an X or an O. (In blue). These depict months:
1 = January
2 = February
3 = March
This continues until October in which...
A = October
B = November
C = December
This is because two digit numbers wouldn't fit in the box.
|Value / Price column
vertical axis is the price scale. From this you can determine the value of
Bullish Support Lines and Bearish Resistance Lines help us determine the trend of the stock.