OHLC stands for Open, High, Low, and Close, and it refers to the four main data points plotted on a chart to represent the price movement of a financial instrument over a specific time period12:
- Open: The price at which a security begins trading for a specific time period, such as a day, hour, or minute.
- High: The highest price reached by the security during that time period.
- Low: The lowest price reached by the security during that time period.
- Close: The price at which the security ends trading for that time period.
These four data points provide a snapshot of price movement during a specific timeframe and are used to identify trends, volatility, and potential trading opportunities. OHLC charts are particularly useful for traders as they provide more information than line charts, which only show the closing prices connected together into a continuous line1.
9/16/2024 08:09am
