Chart Types
Introduction
Charts in AgenaTrader divides into two groups:
TB (Time based) charts:
Candle chart
Line chart
Mountain chart
Bar chart
EquiVolume chart
EquiVolume Shadow chart
Candle Volume chart
Heikin Ashi
More details about TB charts (except Heikin Ashi and Volume) you may found in Chart Toolbar: Price style
NTB (Non time based) charts:
Ticks
Range
Line Break
Kagi
Point & Figure
Renko
Volume
All AgenaTrader++ functions can be used for these data series. Create conditions in the Signal Builder based on, for example, Heikin Ashi, but also on all others. Have your indicators displayed by means of the Range chart, and you will see the difference to the normal time-based chart. A further milestone are the combinations in the Signal Builder, with which you can, for example, mix Line Break conditions with regular timeframes. Finally, the multi-timeframe as well as the multi-data series scanner now also scan for these conditions and signals.
ActionBar
The settings for the NTB (Non time based) charts can be found under timeframes. To add a preset for NTB charts to the list of the timeframes, open the Global Configuration and the Action Bar settings. Under Timeframes, you can now enter your desired chart settings.
How to create Renko chart and calculate indicators
In the example, a Renko chart based on daily data with a box size of 25 points is set. This NTB chart can now be found in the Timeframes dropdown; with a click, the Renko chart is loaded.
Since the NTB charts are now completely available as an individual data series, you can calculate every available indicator based on, for example, Renko charts. You can see the result in the screenshot above. With this, you now have an unprecedented selection of calculation methods and areas of application for indicators. You can already see in the screenshot above just how strongly the display of the RSI in the Renko chart differs from the normal daily chart.
Signal Builder - RSI with Renko
In addition, you can also have conditions and signals calculated with these indicators. To do so in the Signal Builder, you have to select the Renko chart as the timeframe again. Here, all NTB charts that you enter in the Global Configuration are available, as described further above. The generated signal is outputted when the RSI – calculated with the Renko data – cuts upwards through the 30 signal line. This condition could have also been implemented with a “cr-a” order.
You can now also deposit a setup with this condition as well, e.g. a BarByBar stop that is now also calculated on the Renko chart and trails the stop behind every Renko bar.
Multi-timeframe and multi-data series scanner
Besides this, you can now use the Analyzer Column to have this signal scanned for in real time, allowing you to keep an eye on thousands of instruments based on Renko or any other NTB style, so that you do not miss a single signal.
To screen using Renko data in the Analyzer Column, in the settings for the Analyzer Column column, again select the data series previously set in the Global Configuration for the timeframe.
Point&Figure
The Point & Figure (P&F) chart was developed by Charles Dow and first described in his book in 1898, making this chart the oldest Western chart type. The interesting aspect of this price representation is the absence of a time axis. The aim is to highlight the changes in the direction of existing trends. The P&F chart plots an 'X' when the price rises and an 'O' when the price falls. The height of a column depends upon the so-called 'box size' - the price range for X's or O's. As soon as the price has exceeded the current box size, a new X is displayed in an upward trend (and consequently, O is displayed in a downward trend).
Example. Let's assume that the Daimler's current price is 35.10€. If the box size is set to 1€, a new X will only be plotted if the price reaches a minimum of 36€. All values between 35€ and 36€ will not initiate a change.
Along with the box size, another important element of the P&F chart is the reversal setting. The reversal setting determines whether a change between the X and O columns occurs. The trader determines the reversal setting as a multiple of “box sizes” that creates a reversal signal after the last high or low in a price.
Example. Let's assume that the Daimler's last 'low' price is 15€. If reversal is set as 5x the box size (1€ x 5), a change from O to X columns will occur at a price level of 20€. Should the price only reach 19€, a reversal signal will not be generated and the O column will continue to be plotted.
The following settings can be adjusted within the Time Frame:
Box Size: shows the box size (in fixed/points/etc.) that defines when a new X or O is drawn. The smaller the box size, the more sensitive the chart. ATR (20): shows the ATR multiplier that defines box size/reversal based on the average size of the last 20 candles.
Reversal Size: shows the multiplier for the box size that defines after how many reversal boxes a new column with X or O symbols will be plotted.
Renko chart
The Renko chart is another chart type that plots prices with no regard to time. The Renko chart was invented in Japan. Its name is translated from the Japanese “renga”, meaning “brick”. The Renko chart is similar to the P&F chart developed by Charles Dow, in that the time axis is also missing in this chart. This chart consists of black and white bricks. Black bricks are plotted when the price falls, and white bricks, when the price rises. When constructing the Renko chart, only the closing prices of an instrument are considered. New bricks are created when the current closing price exceeds the minimum brick size. If price volatility during a specific period is minimal or the brick size is too large, it can take several days before a new brick is plotted.
The fundamental characteristic of the Renko chart (much like the P&F chart) is a clear representation of existing trends and trend reversals. This is why it is important to assign the correct brick size. A brick size that is too small increases chart sensitivity, leading to too many trend changes (and also bad signals) being plotted. A brick size that is too large results in significantly late detection of trend changes.
The following settings can be adjusted within the Time Frame::
Box Size: shows the box size (in fixed/points/etc.) that defines when a new X or O is drawn. The smaller the box size, the more sensitive the chart.
Use ATR (20): shows the ATR multiplier that defines box size/reversal based on the average size of the last 20 candles.
Kagi chart
Kagi charts can be useful for trend analysis and making buy or sell decisions. Thick (yang) lines are drawn when demand exceeds supply, indicating an upward trend and consequent bull market. Thin (yin) lines are drawn when supply exceeds demand, indicating a downward trend and consequent bear market. When the Kagi line goes from thin to thick then buy signals are generated, and when it goes from thick to thin then sell signals are generated.
The following settings can be adjusted within the Time Frame::
Reversal Size: shows the multiplier for the box size that defines after how many reversal boxes a new column with X or O symbols will be plotted.
Use ATR (20): shows the ATR multiplier that defines reversal size based on the average size of the last 20 candles.
Three line break chart
The three line break chart responds to the dynamic of price changes (without regard to time) and is considered to be able to show changes in the trend. The bars on this chart have different heights. White bars indicate rising prices and red bars indicate falling prices.
When the current closing price exceeds the high of the previous day, the next white bar is plotted. The next red bar is plotted when the current closing price falls below the low of the previous day. If the price does not exceed the high or low of the previous day, no new bar will be plotted.
If there is a strong trend in which three white bars have been plotted following each other in direct succession, then a trend reversal will be only initiated when the low of these three bars is broken by the current price.
The following settings can be adjusted within the Time Frame:
Heikin Ashi
Within the daily time frame, each Heikin Ashi candlestick represents an interval of exactly one day. Days on which prices moved down (on average) are plotted as red candles, whereas an average upward pace of prices is plotted as a green candle.
Heikin Ashi charts are suitbable for all markets but are mostly used in the stock and commodities markets.
There are five important signals which will help you to identify trends:
Green candles indicate an upward trend - a favorable time to expand long positions or get rid of short positions.
Green candles without a long shadow indicate a strong upwards trend (it is recommended to continue running long positions until the market changes direction)
A short candle with shadows on the bottom and top (lines above and below the candle body) indicates a trend reversal. Risk-loving traders can make decisions on whether to buy or sell, whereas risk-averse traders should await confirmation of the trend before opening a short or long position.
Red candles indicate a downtrend - time to expand short positions or get rid of long positions to limit losses.
Red candles without long shadows indicate a strong downtrend (it is recommended to continue running short positions until the market changes direction).
The following settings can be adjusted within the Time Frame:
Volume
With the volume bar chart each bar will be drawn when a certain amount of volume was reached. With a setting of 1.000.000 volume for e.g. shares the chart will draw a bar whenever this volume is reached and move on to the next bar. A small amount of ticks of the 1.000.000 bar indicates high volatility and movement while a high amount of ticks of the 1.000.000 indicates low volatility and movement.
The following settings can be adjusted within the Time Frame:
Range
Range bars take only price into consideration; therefore, each bar represents a specified movement of price. Range Bars, on the other hand, can have any number of bars printing during a trading session: during times of higher volatility, more bars will print; conversely, during periods of lower volatility, fewer bars will print. The number of range bars created during a trading session will also depend on the instrument being charted and the specified price movement of the range bar.
Three rules of range bars:
Each range bar must have a high/low range that equals the specified range. Each range bar must open outside the high/low range of the previous bar. Each range bar must close at either its high or its low.
Read more on an Investopedia.
The following settings can be adjusted within the Time Frame:
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