Ask-based candles: building the missing half of the chart
Posted: Sat Oct 31, 2026 4:07 am
Most platforms draw candles from bid prices. That's the price at which a sell happens. For long trades, entries happen at the ask, and the exit at the bid. For short trades, the reverse.
A long position's stop, which triggers on the bid, is visible on the chart. A short position's stop, which triggers on the ask, isn't. The chart shows a different price series from the one that governs the trade.
Some platforms offer an option to display the ask line. Few have a built-in ask chart. Third-party tools and custom scripts can generate one, with candles built from ask prices. Overlaying bid and ask candles shows the spread's behavior across the bar.
Doing this reveals a few things. How much of a wick on the bid chart is accompanied by a larger wick on the ask chart. How often the ask makes a high that the bid doesn't. And how the spread moves during the minutes around a news event.
For testing, the use of ask data for short trades and bid data for long trades gives a more accurate result than using one series for all.
That small correction can alter results for a system with tight targets.
Has switching to ask-based testing for shorts changed results noticeably?
A long position's stop, which triggers on the bid, is visible on the chart. A short position's stop, which triggers on the ask, isn't. The chart shows a different price series from the one that governs the trade.
Some platforms offer an option to display the ask line. Few have a built-in ask chart. Third-party tools and custom scripts can generate one, with candles built from ask prices. Overlaying bid and ask candles shows the spread's behavior across the bar.
Doing this reveals a few things. How much of a wick on the bid chart is accompanied by a larger wick on the ask chart. How often the ask makes a high that the bid doesn't. And how the spread moves during the minutes around a news event.
For testing, the use of ask data for short trades and bid data for long trades gives a more accurate result than using one series for all.
That small correction can alter results for a system with tight targets.
Has switching to ask-based testing for shorts changed results noticeably?