The main difference between the graph of the currencies of the direct and indirect

The main difference between the graph of the currencies of the direct and indirectRemember when we talk about currencies direct and indirect currency, the euro and the pound sterling are two of the currencies in terms of direct, EUR / USD: Rmzhma and thus the code first and then the dollar Base currency Akunan are the base currencyGBP / USDThe Japanese yen and Swiss franc understanding of the indirect exchange where the dollar is the base currency and the MkablhmaUSD / CHF, USD / JPY: dollar sign first, then comes RmzhmaAs mentioned, the price is the amount owed from the second currency for one unit of base currency.This means that if the figure rose against the euro against the dollar means that the euro rise because we are required to pay a larger amount ofDollar for one euro, and this means that the euro rose against the dollarIf the figure dropped against the euro against the dollar means that Annl required to pay how much less than the dollar for one euroThis means that the euro fell against the dollar.The same thing applies to the pound sterling and all currency is also directly(If you look at the form (10(Fig. (10See a line graph of the euro and the time frame on.Every day that passes brings the euro more and more.31That is, we every day how we are required to pay more than the dollar (the second currency) for one euro (one unit of currencyBasis)This means that the euro rise.As well as for LE.Thus, when you see that the line or bars or candles in the graph of the euro or pound rise with the passage of time means that theEuro or pound Saarama rise against the dollar.If I saw that the line bars or candles in the graph of the euro or pound down with the passage of time means that the priceEuro or the pound to fall against the dollar.The currency is the direct opposite is trueWhen you see that the line or bars or candles in the graph of the yen or the franc rise with the passage of time means that the priceThe yen or the franc decline against the dollarWhen you see that the line or bars or candles in the graph of the yen or the franc down with the passage of time means that the priceFranc or the yen rises against the dollarWhy?Recovered if the definition of price is known to answer yourself.The dollar is the base currency against the yen and the franc.When the candles go up in the graph of the yen or the franc, it suggests that we are demanding to pay how much greater than the yen or the franc (the currencySecond) for one dollar (one unit of base currency) and this means that the dollar's rise and the yen or the franc decline.When the candles go down in the chart of the yen or the franc, it suggests that we are demanding to pay how much less than the yen or the franc (the currencySecond) for one dollar (one unit of base currency) and this means that the dollar decline and the yen or the franc to rise.It is necessary to understand this point completely, but you may sell the yen in the mean time to buy ..!!You may feel some confusion in the understanding and this is normal, but a little practice, things will become very clear for you.In order to make sure that you understand this point, we will take examples:Example 132See the following figure:This is a chart of the dollar against the yen and the time frame is the day:1 that indicate the candle closing price for the day = 125.75, so we required to pay 125.75 for one dollar.The candle 2 that the closing price for the day several = 125.30 we are required to pay any amount less than the yen for dollarsAnd any one that the dollar had become a "precious" from the day before that any rise.The candle is 3 to the closing price for the day any number of = 123.90 we are required to pay a lower price than the yen forOne dollarWith the passage of time becomes more valuable yen less than the amount you can get one dollar.As you can see the candles down with the passage of days and refers to the high price of the yen against the dollar, a rise behind the increasing day by day.Example 2See the following figure33This is a chart of the dollar against the Swiss franc and the time frame is the time:1 that indicate the candle closing price is at 4 pm the day = 1.4865, so we required to pay 1.4865 francsFor one dollar.The candle 2 that is the closing price at 5 of the same day = 1.4930 which we have come to demand payment of an amount greater thanFrancs for dollars and francs to any one become a "cheaper", from which came before it, that is, it decreased.The candle is 3 to the closing price is at 6 pm the same day = 1.4950 We are required to pay any price greater than the francFor one dollar.With the passage of time becomes a franc cheaper and you need to how much more of it for one dollar.As you can see the candles rise with the passage of the hours and refers to the low price of the franc against the dollar, a decline of hours behind the increaseHours.34General ruleIn the euro sterling OganahCandles high in the graph refers to the high price of the euro or pound.Drop candles in the graph refers to the low price of the euro or pound.In the yen and Swiss francCandles high in the chart indicates for the low price of the yen or the franc.The low candle in the graph refers to the high price of the yen or the franc.And the same thing for the bars or line art.You have to understand the difference between the graph of the currencies of the direct and indirect easily to think that the graph of the euroAnd the pound is a graph of the euro and the pound actually appear when it bars or candles rise of the euro or the pound, it meansThey Ertfan, and the chart of the yen and Swiss franc, it is in fact the graph of the dollar when the show bars orCandles of the graph of the yen or the franc, it rises, it means that the dollar is rising and as long as the dollar rises or valine francAnkhvadan.__________ So you are now fully capable of reading the chart for any currency and is able to understand what happens to the price of the currency by taking a lookOn the graph for each of them. Where you can then analyze the graph in an attempt to find out the future direction of the movementThe exchange rate, on the basis of this expectation will be out buying and selling, where will buy the currency which it expects to increase its price and sellCurrency that you expect to fall in price.Now it's time to learn the basic concepts in the analysis of the graph and how to do this, note that what we shall see thisParticular, no more than a general idea of ​​the methods and concepts of analysis you need to deepen the theoretical and familiarized themselves with practice.35