Log scale price chart
Let’s go through a quick definition of what linear and logarithmic charts are. Linear chart – price is scaled to be equal, so 5, 10, 15, 20, 25, 30, etc. You see an equally divided price chart. Logarithmic chart – price is scaled according to percent changes, so two equal percent changes are going to have the same vertical change/distance. The first chart above is displaying a standard stock chart which is an Arithmetic stock chart. The second one is a Logarithmic stock chart. In looking at these two charts, at first glance the tip off as to which is which, is that the standard stock chart has grid lines that are evenly spaced whereas the Logarithmic scale stock chart does not.