Looking at a forex chart for the first time can feel like staring at a foreign language — candles, wicks, patterns, colours… where do you even start?
In this post, we’re breaking down how to read forex charts in a way that’s simple, practical, and beginner-friendly. Because once you understand how to read a chart, you're no longer guessing — you're making informed decisions.
What Is a Forex Chart?
A forex chart is a visual representation of how a currency pair's price changes over time. It helps you see what’s happened in the market — and potentially what could happen next.
Most charts show:
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Time along the bottom (X-axis)
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Price up the side (Y-axis)
You’ll use charts to spot trends, patterns, and key areas where price might bounce or break.
What Are Candlestick Charts?
The most common chart type in forex is the candlestick chart.
Each “candle” shows four key pieces of information:
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Open – where the price started for that time period
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Close – where it ended
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High – the highest price reached
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Low – the lowest price reached
If the candle is green or bullish, it means price went up.
If it’s red or bearish, price went down.
Example: A 1-hour candle means it shows price movement for one hour.
Key Chart Terms You Should Know
✅ Timeframes:
You can choose different timeframes to view the chart — 1 minute, 1 hour, 4 hours, daily, weekly, etc.
Shorter timeframes = more noise. Higher timeframes = stronger signals.
✅ Support and Resistance:
These are horizontal zones where price tends to bounce or react.
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Support = price level where buyers step in
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Resistance = level where sellers step in
✅ Trend:
The overall direction the market is moving.
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Uptrend = higher highs and higher lows
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Downtrend = lower highs and lower lows
✅ Wicks:
The thin lines above/below the candles show how far price moved before settling.
Long wicks often show rejections — areas where price didn’t want to stay.
How to Practise Reading Charts
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Open a free charting platform like TradingView
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Pick a major pair like EUR/USD
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Start on the 1-hour or 4-hour timeframe
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Mark key support/resistance levels
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Look for trends, patterns, and price reactions
Don’t worry about indicators yet. Focus on reading raw price movement.
Pro Tip: Zoom Out Before You Zoom In
Before making any trade decision, check the bigger picture.
For example, if you're trading on the 15-minute chart, take a look at the 4-hour or daily chart to see the overall trend and structure.
Final Thoughts
Learning to read charts is like learning to read a map — once you understand how it works, you can start navigating the market with confidence.
And you don’t have to do it alone.
👉 Join our free Telegram group to get chart breakdowns, trading tips, and support from other traders on the same journey.