Investing in stocks when market is subjected to high volatility could earn a profit to who are well versed with the stock quotations. But if you are a starter, first learn the basic guide lines and symbols in stock charts.

Penny stocks are best to be considered while if you are new to stock market. It is a stock which deals with trading of small share of your finance.

Basic symbols while reading penny stocks chart:

Search for a good website that can help you with free stock chart. These websites don’t require registration for providing free stocks chart. Penny stocks chart helps in giving you a graphical view about the working of stock market for a particular stock.

The OHLC chart i.e. type of stocks chart that describes the open, high, low and close rates of the stock. It graphically shows the time frame and upper and lower limit of the stock value. Basically, it indicates opening up and closing up price value, gives a volume account, ups and downs during the time period and time period.

There are two vertical lines in the chart at any given point. The lower line indicates the volume bar. The higher part of the upper vertical line shows the high value of commodity and lower part of the same shows low value.

Understanding the closing and opening value bar can be complex. In stocks charts, there is a short thick bar within that they have a tail like line. This tail is the high and low value line and short bar shows the closing and opening values of the stock.

If the body of bar is partly shaded with black or red it means opening value of stock was higher than closing value so, upper part indicates opening value. If body part is shaded with white or green than closing value is higher than opening value and so upper part indicates closing value.

In some stocks chart you may not see any such body, it means opening and closing value of stock is same for that time period.

After understanding the basic terms related to penny stocks you will be able to invest in stocks wisely and improve your returns.