A daily chart is a graphic representation of information about market movements that had occurred within a day’s time frame.
Daily chart patterns
Trading chart patterns are one of the many methods used by technical analysts designed to determine reversals and market trends. Technical patterns such as the “Diamond” or even the “Descending Triangle” (often used in candlestick charts)makes it easier for analysts and traders alike to notice conditions when the market is likely to break. With the benefits of these visuals, it becomes possible to track and see whether the price will be able to move with or against its market direction.
An accurate analysis, whether Forex analysis or not, involves the use of various tools such as indicators. With a vast array of possible patterns that can appear on a Forex chart, it can prove to be quite challenging to identify those that are often used by traders. However, the value of these tools must not be ignored as these can help traders see even the smallest of movements in the market.
Therefore, chart patterns can visually hint traders on future trends and market directions to give them ample time to make much better decisions when participating in active trading.