Candles on the DARWIN candle chart represent a given time interval and have:
- Opening quote: the first quote at the start of the interval represented by the candle
- Closing quote: the last quote during the interval represented by the candle
- High: highest quote in the interval
- Low: lowest quote in the interval
Due to differences in the frequency of tick price movements and duration of candle periods, the close quote for a candle need not necessarily match the open quote for the succeeding candle.
Purpose of the candle charts
Candle charts were introduced on the Darwinex platform when conditional orders got deployed in the live investing environment.
This was done not for the purpose of charting, but to be as transparent as possible on whether DARWIN quotes hit a given level.
There are no candles for the period when a strategy was not yet listed as a DARWIN asset given that there are no DARWIN quotes for this period to construct the candles. This characteristic of the candle chart makes it convenient for checking when exactly a strategy started to be listed as a DARWIN asset.
Price granularity is a trade-off between accuracy/transparency and computational efficiency. Pick too little, and compromise transparency. Pick too much, and waste resources.
This is why we’ve opted for a 3-Tier approach:
- Second level granularity: on quotes in the DARWIN platform since 15. August 2017
- Minute granularity: for the period between DARWIN validation and the 15. August 2017.
Exception on DARWIN re-sets: on occasions, owing to some execution issue on a DARWIN’s underlying strategy, DARWIN equity curves must be “simulated” back to what they would have been barring the execution issues. For the period where the curve has had to be re-created, or needs to be recreated in the future, granularity will be on an hourly basis, and not on a minute/second basis as you would otherwise expect.