# Weekly Charts: Definition, Uses, and Comparison With Daily and Monthly Charts

![Stock trader on a laptop looking at charts of trade information](https://www.investopedia.com/thmb/tut27e70IFYdPudkwE_j3HN4cR8=/1500x0/filters:no_upscale():max_bytes(150000):strip_icc()/WeeklyChart-a3078f2167b7417da7953e5a136e4163.jpg)

*— cihatatceken / Getty Images*

## What Is a Weekly Chart?

A weekly chart summarizes a week of trading data in a single visualization. It offers a long-term view that is useful for technical analysis.

Weekly charts focus on revealing longer-term trends, differing from daily charts and complementing monthly charts. They are used by traders such as long-term investors and institutional analysts.

Weekly charts can be used in conjunction with other chart types, such as daily charts, for a more comprehensive analysis.

### Key Takeaways

*   Weekly charts condense a week's trading data, offering a long-term perspective ideal for identifying enduring trends and market patterns.  
    
*   These charts support long-term forecasts, making them useful for institutional analysts and less active investors.  
    
*   Weekly charts, combined with daily charts, can confirm price trends and buy/sell signals for more comprehensive analysis.  
    
*   Using weekly charts with moving averages helps enhance trend analysis for both short-term traders and long-term investors.  
    
*   Weekly charts summarize daily data into a single visualization, which simplifies the interpretation of broader market movements.

## How to Use Weekly Charts for Long-Term Trend Analysis

Weekly charts are used by technical analysts to gauge the long-term trend of a given asset. A weekly chart can vary in appearance depending on what form of chart the analyst chooses to use.

A weekly [line chart](https://www.investopedia.com/terms/l/linechart.asp) shows the weekly [closing price](https://www.investopedia.com/terms/c/closingprice.asp), while a [candlestick chart](https://www.investopedia.com/trading/candlestick-charting-what-is-it/) reveals the open, high, low, and close for the week. This chart construction is used to give a long-term view of the security because it includes much more historical price movement than an equivalent period day chart. Oftentimes, weekly charts can be added to a trader’s display and used in comparison to daily charts and [volume](https://www.investopedia.com/terms/v/volume.asp) charts.

Weekly charts summarize data from each day of the week. The highest and lowest prices from the week's sessions set the weekly high and low markers.

![Image](https://www.investopedia.com/thmb/Nyb_wG3cFYnorZ-f5iUaY_8S8tc=/1500x0/filters:no_upscale():max_bytes(150000):strip_icc()/WeeklyChart4-387381cd37d1410eaf054ba9b8f6a260.png)

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The figure above shows how each individual day-data for the week becomes summarized into a single candle. The weekly candle at the end doesn't look like any of the individual daily candles, and it merely nets out the trading action into a single small body with a large trading range. But for the purposes of those who review a weekly chart, that is all the information they need.

## Advantages of Weekly Charts in Investment Analysis

Weekly charts give traders a broader view of security price trends than daily or intraday charts. With 52 [bars](https://www.investopedia.com/terms/b/barchart.asp) for a year's trading, weekly charts show trends that may suggest long-lasting forecasts. Institutional analysts, seeking longer-term opportunities, find weekly charts more relevant than short-term traders.

Use weekly charts with [daily charts](https://www.investopedia.com/terms/d/dailychart.asp) to confirm price trends and buy/sell signals. Similar to daily charts, weekly charts can be used to identify price channels with bullish and bearish trends. Since they provide a visual display of prices over a longer time, some indicators may be different from daily price charts, or may help to confirm daily price chart pattern inferences.

Less active investors can use weekly charts to identify long-term price trends in the securities they track. Many investors will view weekly charts on the securities they are invested in to watch for changes in long-term trends or signals that the investment may be potentially beginning a [downtrend](https://www.investopedia.com/terms/d/downtrend.asp).

## Key Considerations for Effective Use of Weekly Charts

Investors may also use monthly charts, which provide a broader view by charting prices each month. Overlaying a price chart with a moving average can be helpful. [Moving average](https://www.investopedia.com/terms/m/movingaverage.asp) studies are followed closely by technical traders regardless of the time frame they trade. The moving average and [moving average envelope](https://www.investopedia.com/articles/trading/08/moving-average-envelope.asp) channels can also be useful for longer-term investors who wish to follow their investment’s price in a weekly or monthly chart.

## Conclusion: The Role of Weekly Charts in Technical Analysis

Weekly charts are used in technical analysis and have greater utility in long-term trend assessment than daily or intraday charts. They summarize a week’s data in a single candle or bar, which supports longer-term forecasting and analysis.

Weekly charts identify price channels and trends over a more extended period, which can be useful for institutional analysts and less active investors. They can be complemented with daily charts to corroborate price trends and buy/sell signals, and with monthly charts to maintain a view of the big picture. Investors may overlay these charts with moving averages to assist trend analysis.

While weekly charts are beneficial for long-term observations, consult with qualified financial professionals for personalized guidance and unbiased insight in your investment decisions.