Charting Terms and Indicators

OHLC - Open High Low Close charts plot the high and low of the price movement vertically and the open and close horizontally. Used to graph range and outliers.
Candlestick chart - Similar to OHLC, but open and close are filled. Often Black or Red candles represent a close lower than the open. While White, Green or Blue candles represent a close higher than the open.
Line chart - Connects each closing interval together on a line

Average true range - averaged daily trading range, adjusted for price gaps
Chart pattern
Coppock curve - Edwin Coppock developed the Coppock Indicator to identify the commencement of bull markets
Dead cat bounce - the phenomenon whereby a spectacular decline in the price of a stock is immediately followed by a moderate and temporary rise before resuming its downward movement
Elliott wave principle and the golden ratio to calculate successive price movements and retracements
Hikkake Pattern - pattern for identifying reversals and continuations
Momentum - the rate of price change
Point and figure charts - charts based on price without time

Overlays are generally superimposed over the main price chart.

Resistance - an area that brings on increased selling
Support - an area that brings on increased buying
Breakout - when a price passes through and stays above an area of support or resistance
Trend line - a sloping line of support or resistance
Channel - a pair of parallel trend lines
Moving average - lags behind the price action but filters out short term movements
Bollinger bands - a range of price volatility
Pivot point - derived by calculating the numerical average of a particular currency’s or stock’s high, low and closing prices

These indicators are generally shown below or above the main price chart.

Accumulation/distribution index—based on the close within the day’s range
Advance decline line — a popular indicator of market breadth
Average Directional Index — a widely used indicator of trend strength
Commodity Channel Index - identifies cyclical trends
MACD - moving average convergence/divergence
Parabolic SAR - Wilder’s trailing stop based on prices tending to stay within a parabolic curve during a strong trend
Relative Strength Index (RSI) - oscillator showing price strength
Stochastic oscillator, close position within recent trading range
Trix - an oscillator showing the slope of a triple-smoothed exponential moving average, developed in the 1980s by Jack Hutson