Line Break: Difference between revisions
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→Understanding Line Break Chart Type
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==Understanding Line Break Chart Type== | ==Understanding Line Break Chart Type== | ||
[[File:LBChart1.png|right|LB]]The concept of the Line Break chart is similar to Point and Figure charts. It is made up of a series of vertical blocks called lines that use close prices to indicate market direction. The Line Break chart looks like a series of rising and falling lines of varying heights. Each new line, like the X's and O's of a point and figure chart, constitutes a new column. Using close prices (or highs and lows), a new rising line is drawn if the previous high is exceeded. A new falling line is drawn if the price hits a new low. | |||
The concept of the Line Break chart is similar to Point and Figure charts. It is made up of a series of vertical blocks called lines that use close prices to indicate market direction. The Line Break chart looks like a series of rising and falling lines of varying heights. Each new line, like the X's and O's of a point and figure chart, constitutes a new column. Using close prices (or highs and lows), a new rising line is drawn if the previous high is exceeded. A new falling line is drawn if the price hits a new low. | |||
==Selecting Line Break Chart Type== | ==Selecting Line Break Chart Type== | ||
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| Buy next bar at market | | Buy next bar at market | ||
| Order is placed on the first tick of the new bar, i.e. on the Open of the next bar. | | Order is placed on the first tick of the new bar, i.e. on the Open of the next bar. | ||
| Order is placed at the price of the first received tick, this tick may not be a part of a box, in this case the order is displayed not on OHLC of the box but on the price level of the first received tick. | | Order is placed at the price of the first received tick, this tick may not be a part of a box, in this case the order is displayed not on OHLC of the box but on the price level of the first received tick. | ||
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| Buy this bar at close | | Buy this bar at close |