Point and figure series is used in technical analysis to represent changes in stock prices over time, focusing solely on price movements without time and volume. The columns of X's represent a rising price, while O's - falling prices. Each symbol corresponds to a specific price movement, and the new marker is created only when the price changes by a predetermined amount, known as the box size. A new column is created only if the price goes in the opposite direction, and the threshold required to create one is called the reversal amount.