Tag: Renko charts

Easy trading strategies with Renko Charts

Easy trading strategies with Renko Charts

Trading Strategies
Renko charts, as written in our previous article is purely based on price action and is independent of time. Due to the nature of renko bricks, it is therefore easier to use various charting analysis such as trend lines, chart patterns, support & resistance. Unfortunately, most trading strategies based on Renko tend to focus on indicators such as moving averages, oscillators et all. In this article, we give a brief outline into the basics of trading with Support/Resistance levels. Short Term Support & Resistance Perhaps the most easiest of all, traders can identify support and resistance levels with renko charts with much more ease than with using any other chart types. The chart below is that of the NZDUSD, 10 pip renko move. The horizontal line plotted shows clear resista...
Introduction to Renko Charts

Introduction to Renko Charts

Trading Articles
Renko Charts is a type of charting concept that was developed by the Japanese. Renko (or Renga) is the Japanese word for Brick and aptly reflects the nature of the Renko charts. Renko charts are constructed by plotting price movements as bricks of a certain size. Unlike its close cousin, the Bar Chart or Candlestick chart which plots Price’s Open/High/Low/Close against Time on the x-axis and Price on the y-axis, Renko charts purely reflect price movement and is time independent. Although most Renko charts do have time plotted on the x-axis, it is irrelevant. Renko charts are considered to be pure price action minus the noise one gets to see on Bar or Candlestick charts. The Renko’s or bricks are printed next to each other. So when price moves up by a certain number of pips, a bullish Re