Why Data Analysis Tools Refuse to Offer Tick Charts?
Tick-based charts, which represent price movements based on a certain number of ticks or transactions, indeed require a resourceful back-end infrastructure to handle the processing and storage of large amounts of data. The reason behind this is that tick charts capture every individual trade or transaction, resulting in a significant volume of data being generated, especially in highly liquid markets with frequent trading activity.
Processing and storing tick data requires computational power, memory, and storage capacity. Analyzing tick data also puts a strain on the system’s processing capabilities, as it involves performing calculations and generating charts in real-time. As a result, tick-based charting requires a robust infrastructure that can handle the demands of data processing and storage.
However, implementing and maintaining such infrastructure comes with increased costs. The need for powerful servers, efficient data storage solutions, and sophisticated algorithms for data processing can be expensive. These costs include hardware, software, maintenance, and ongoing operational expenses.
As a result, low-cost analytical platforms or tools might not have the provision for tick-based charts due to the financial implications. To keep costs low and make their platforms accessible to a wider audience, these platforms often prioritize simplicity and efficiency by offering alternative charting methods, such as time-based charts (e.g., candlestick or bar charts) that aggregate price data based on fixed time intervals (e.g., minutes, hours, days).
While tick-based charts can provide detailed insights into market activity and are valued by certain traders and institutions, they are typically more commonly found on premium or specialized platforms that cater to professional traders who require in-depth analysis and have the necessary resources to support such data-intensive charting techniques.
Which trading platform provides tick based charts for Indian stocks?
Despite the resource-intensive nature and associated costs of tick-based charts, Sharekhan’s Trade Tiger trading and analysis platform is an exception that offers this feature. Sharekhan, being a prominent brokerage firm in India, has invested in the necessary infrastructure and technology to provide its users with the capability to utilize tick-based charts for trading and analysis purposes.
By offering tick-based charts, Sharekhan’s Trade Tiger platform stands out from some other low-cost analytical platforms that may not provide this feature due to the associated infrastructure costs. Sharekhan’s commitment to providing tick-based charts demonstrates their dedication to meeting the needs of traders who require a higher level of data granularity and precision in their trading strategies.
Tick charts on Trade Tiger allow traders to observe the price action of Nifty and Bank Nifty futures at a highly detailed level. Unlike time-based charts, which aggregate price data based on fixed time intervals, tick charts focus on the number of trades or transactions that occur. Each tick on the chart represents a specific number of trades, providing traders with a more granular view of market activity.