What is typically represented on a price chart in market analysis?

In market analysis, a price chart typically represents market movements and patterns. These charts visually illustrate the historical prices of a security or index over a specific period, allowing traders and analysts to observe trends, such as upward or downward movement, as well as potential support and resistance levels. By studying these patterns, market participants can make informed decisions about future price behavior, leveraging technical analysis techniques to identify trading opportunities. This focus on price movements and patterns is fundamental in technical trading, as it provides insights into market dynamics and helps predict future trends based on past performance.

While investor sentiment trends, economic forecasts, and financial news impact are important aspects of market analysis, they are not directly depicted on a price chart like market movements and patterns are. Instead, these elements might influence the price movements shown on the chart.