Real time charts - Maybe not ...

Day traders use graphical charts (such as the chart shown above) to display their markets. As day trades are often short term trades that require precise entries and exits, day traders want to make their trading decisions as efficiently as possible, so they want their charts to be updated in real time. Most day trading charting software (such as Sierra Chart and Trade Station) have the ability to update their charts in real time, but whether or not they actually do so is usually configured in the charting software's settings.

The setting that controls how often the charts update is usually known as the chart update interval, and for many popular charting software the default setting is between 500 and 1000 ms (1/2 - 1 second). With a chart update interval of 1000 ms (1 second) the charts are only updated once every second, which may be fine for some slow moving markets, but will be inadequate for many medium and fast moving markets (especially markets like the HSI).

The chart update interval that you should use is dependant upon a combination of your CPU speed (computer's processor speed), and your trading system. In other words, you should use a chart update interval that suits your trading system, as long as it does not overcome your computer's CPU. The quicker your charts are updating (a lower chart update interval), the more CPU resources will be used, so you will need to find the compromise that suits both your computer and your trading system.

For Sierra Chart, the chart update interval is configured in the general settings, which can be accessed via the "Global Settings -> General Settings" menu. The general settings include many different settings, but the only setting that needs to be modified is the chart update interval, which is the first setting on the right hand side, as shown below (click on the image to view it in full size) :

Additional information and tutorials for some of the most popular charting software, can be found in the charting software section of the day trading site, and at the charting software web sites such as Sierra Chart and TradeStation.