Have you heard about “technical analysis” with regard to energy prices but never really knew how to get started? One way to ease into this type of analysis, especially if you are a visual learner is through Candlestick Charts.
The following article from StockCharts.com provides an introduction to the topic. The first few paragraphs provide a good overview to get you started even if you decide not to wade deeper into the different types (and strange names!) of candlestick shapes: “Compared to traditional bar charts, many traders consider candlestick charts more visually appealing and easier to interpret. Each candlestick provides an easy-to-decipher picture of price action. Immediately a trader can compare the relationship between the open and close as well as the high and low. The relationship between the open and close is considered vital information and forms the essence of candlesticks…” Read more
By the way, my favorite site for tracking natural gas prices using candlesticks is BarChart.com.
