Range bars allow users to analyze the price movement of financial instruments, while also reducing market noise. Range bars don’t take time into consideration and are therefore able to create the so-called 'clean chart effect.' A new bar is formed when prices reach a certain value set by the user.
There are two ways.
Range interval sets the range in which the price moves, which in turn initiates the formation of a new bar.
1 Range equals one minimum price change. This value can be presented with the following formula.
1 Range = Tick Size
The values Tick Size are displayed in the Symbol Info menu (Right click on the chart series -> Symbol Info...).
Please note that the time parameter does not affect Range bars, therefore when you choose the Range chart type, the interval of the chart will be automatically switch to Range interval by default or to the last used Range interval.
Let's look into the Properties of Range charts:
Up Color — set the color of the up bar.
Down Color — set the color of the down bar.
Projection Up Color — set the color of the projection up bar.
Projection Down Color — set the color of the projection down bar.
*Projection Bars — bars that are built based on the data of a temporary bar, that is still forming.
Phantom Bars — the display setting of virtual bars
*Virtual Bars — bars that are built in price ranges, which were not traded.
Price Line — the display setting of the line that shows the last price.
Previous Close Price Line — the display setting of the line that shows the closing price of the previous trading day.