Energies Trading Long and Short and Trading Charts

In energies trading, there are two types of trades, these are:

• Long (buy) - long is if the trend is buy/bullish.
• Short (sell) - short is if the trend is sell/bearish.

Buying/Long and Selling/short in Energies

Both terms in Energies, refer to things we do when open a trade.

Buying Long - energies term to use when buying and when opening a trade.

Selling short - energies term to use when selling and when opening a trade.

Long - Long is another term used to refer to buying in energies, If a trader opens long it means that he buys the energies instrument that is heading in an upward trend direction. When the price is moving in an upward trend the trend is referred to as bullish trend.

Short - Short is a term used to refer to selling of a energies instrument that is going in a downward trend direction. When the price is going downwards then it is known as to as a bearish trend.

Basically the term, "selling short" can be refer to selling in the markets. Selling short is used to trade a energies instrument that is predicted to depreciate in value compared to another, when this energies instrument is sold then it is the same as not holding value in this energies and holding the same value in another form against which this energies instrument is traded against - mostly US Dollars.

Buy/Long

If the price is going up we buy, this is referred to as going long - Therefore long is just another term for buy. When the market trend is going up it is referred to as bullish, this is when a buy trade is placed. A bullish trend is identified by drawing an upward trend line on a chart. The example illustrated and explained below highlights a long/buy signal.

Buy/Long

Sell/Short

If the price pair is heading down we sell, this is referred to as going short. When the market trend is going down it is known as to as a bearish. The example illustrated and explained below highlights a down ward trend, this is when a short sell is placed. The short/sell is identified by drawing a down ward trend line on a chart. The example illustrated and explained below highlights a short/sell signal.

Sell/Short - Energies Trading Buy Trade and Energies Trading Sell Trade

Energies Trading Charts

A energies chart provides a visual representation of prices (drawn on the y-axis) against time (drawn on the x-axis) for energies. The movement of prices is drawn on these charts. The chart can be drawn as candlestick charts like the one shown below or as line charts or bar charts.

Energies Chart - Candlesticks Charts

The 3 common types of charts used in energies trading are:

• Candlesticks Charts
• Line Charts
• Bar Charts

These 3 types are covered in the topic Energies Chart Types.

Energy Software

This is the energies software that is provided by a broker to help traders place their energies transactions. Once you download and installs this energies software on your computer you can then begin to trade in the Energies market. All energies trade transactions are executed through this energies platform. If you want to learn a platform, MT4 Energies Trading Software is a good platform to start with.

To set these orders, open MT4 Energies Software, open a "chart", right click on the "chart', choose "New Order", then select the order either sell or buy as instanced below. (Keyboard Short Cut Keys - Press F9)

Setting Buy Long Trading Order and Sell Short Order on Meta Trader 4 Platform