The value of investments can go down as well as up. You may get back less than you invest. Cryptoassets are volatile and you should only invest money you can afford to lose.

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How to Read a Stock Chart for Beginners

How to read a stock chart for beginners: price, volume, moving averages and why a chart is a tool, not a crystal ball.

How to Read a Stock Chart for Beginners

How to read a stock chart is a beginner skill that prevents two mistakes: ignoring price history entirely, and treating squiggles as a fortune-telling service. A chart shows what traders did. Your job is to decide whether that history is relevant to a multi-year holding.

Price and axes

The vertical axis is price; the horizontal is time. Zoom out before you zoom in. A dramatic afternoon on a five-minute chart can be a footnote on the weekly.

Volume

Volume shows participation. A move on tiny volume is less informative than a move everyone traded. For long-term investors, volume is context, not a trigger to mash the buy button.

Moving averages

A moving average smooths price. When price sits far above a long average, the stock has already had a run. That can continue. It can also mean you are paying up. It is not a buy/sell oracle.

Gaps and news

Stocks gap on earnings and headlines. If you cannot explain a gap, do not invent a pattern name for it. Read what the company reported.

Charts plus a plan

Use charts to avoid buying a name only because a friend mentioned it at a party. Then size the position. Orizon Invest shows live prices so you can act on a plan, not on a mystery screenshot from somewhere else.