It's never a bad saying that "two are better than one," and most times in trading, 'multiple' could even be better, if not the best. This topic is a sequel to my initial topic on the better approach between one or more strategies in trading (
https://bitcointalk.org/index.php?topic=5454944.0). As expected, some went for one strategy while others went for combined strategies in which the latter being my preference as it helps me filter my trading signal better than when I use a single strategy.
Now, it's the turn of the timeframe. These two (strategy and timeframe) are so important in trading as they have rightly shaped my trading today. Although I don't condemn any trading approach, yet I discovered in my trading experience that one of the mistakes traders make is to stick to a single timeframe. They believe it will not confuse them forgetting that there are many other traders working on other timeframes that they ignored. They often blame their strategy and might not know that the same strategy is warning them on another timeframe(s) that they ignored.
Whether you are a long or short-term trader, no matter the timeframes you are using to analyze the market, others might be trading differently. This is more reason why I like to use at least 5 timeframes for trading, which will surely increase my chance of capturing the true psychology of the market at that time. And you know what? All of them must agree on a particular direction before I pull the trigger.
This is another style that may slow your trading down, but believe me, it's to your advantage. It's worth it as it filters noise out of the market and makes you trade less, lose less and win more.
Expect more on another topic...
The topic title alone, just said it all because yeah you can't get a proper direction of the market without looking at the bigger picture of where the market is actually going, and trust me with a
MULTI-TIMEFRAME analysis lets say for my own pick, i go with the DAILY, 4H, & 15Ms, you will have a good mindset free, how i trade with this timeframes is like this:
i use this timeframe to see the overall trend direction, now this is depending on what your setups or patterns you want to see in the DAILY to be like.
when am done with what i want to see on the
DAILY TIMEFRAME i drop down to the
4HOUR TIMEFRAME to look for my
AREA OF VALUE some call it
P.O.I(
point of interest), P.O.I or area of value can be OB{
order block} OR FVG{
Fair value gap} what ever thing you name your poi or area of value, when have marked out my poi or area of value i then drop down to 15ms
now this is the timeframe i take my entries and place my S.L {
STOP LOSS} for good reward ratio, some can go down as deep as 1 Minute timeframe for entries.