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Multipletimeframe

Learn How to Apply Top-Down Multiple Time Frame Analysis In this article, we will discuss how to apply Multiple Time Frame Analysis in trading . I will teach you how to apply different time frames and will share with you some useful tips and example of a real trade that I take with Top-Down Analysis strategy. Firstly, let's briefly define the classification of time frames that we will discuss: There are 3 main categories of time frames: 1️⃣ Higher time frames 2️⃣ Trading time frames 3️⃣ Lower time frames Higher Time Frames Analysis 1️⃣ Higher time frames are used for identification of the market trend and global picture. Weekly and daily time frames belong to this category. The analysis of these time frames is the most important . On these time frames, we make predictions and forecast the future direction of the market with trend analysis and we identify the levels , the areas from where we will trade our predictions with structure analysis . Above is the example of a daily time frame analysis on NZDCAD. We see that the market is trading in a strong bullish trend. I underlined important support and resistance levels. The supports will provide the safest zones to buy the market from anticipating a bullish trend continuation. Trading Time Frames 2️⃣ Trading time frames are the time frames where the positions are opened . The analysis of these time frames initiates only after the market reaches the underlined trading levels, the areas on higher time frames. My trading time frames are 4h/1h. There I am looking for a confirmation of the strength of the structures that I spotted on higher time frames. There are multiple ways to confirm that. My confirmations are the reversal price action patterns. Once the confirmation is spotted, the position is opened. Analyzing the reaction of the price to Support 1 on 1H time frame on NZDCAD pair, I spotted a strong bullish confirmation - a triple bottom formation. A long position is opened on a retest of a broken neckline. Lower Time Frames 3️⃣ Lower time frames are 30/15 minutes charts. Even though these time frames are NOT applied for trading, occasionally they provide some extra clues . Also, these time frames can be applied by riskier traders for opening trading positions before the confirmation is spotted on trading time frames. Before the price broke a neckline of a triple bottom formation on an hourly time frame on NZDCAD, it broke a resistance line of a symmetrical triangle formation on 15 minutes time frame. It was an earlier and riskier confirmation to buy. Learn to apply these 3 categories of time frames in a combination. Start your analysis with the highest time frame and steadily go lower, identifying more and more clues. You will be impressed how efficient that strategy is.
OANDA:XAUUSDEducation
by VasilyTrader
17
Top-5 tips for Top-Down Multiple Time Frame Analysis Trading I am trading multiple time frame analysis for many years. After reviewing trading ideas from various traders on Tradingview, I noticed that many traders are applying that incorrectly In this article, I will share with you 5 essential tips , that will help you improve your multiple time frame analysis and top-down trading. The Order of Analysis Matters Multiple time frame analysis is also called top-down analysis for a reason. When you trade with that, you should strictly start your analysis with higher time frames and then dive lower, investigating shorter-term time frames. Unfortunately, most of the traders do the opposite. They start from a lower time frame and finish on a higher one. Above are 3 time frames of EURGBP pair: daily, 4h, 1h. To execute multiple time frames analysis properly, start with a daily, then check a 4h and only then the hourly time frame. Limit the Number of Time Frames Executing multiple time frame analysis, many traders analyse a lot of time frames. They may start from a weekly and finish on 5 minute time frame, going through 5-8 time frames. Remember that is it completely wrong. For execution of a multiple time frame analysis, it is more than enough to analyse 3 or even 2 time frames. Adding more time frames will overwhelm your analysis and make it too complex. Analyse Particular Time Frames Your multiple time frame analysis should be consistent and rule-based. It means that you should strictly define the time frames that you analyse. For example, for day trading, my main trading time frames are daily, 4h, 1h. I consistently analyse ONLY these trading time frames and I look for day trades only analysing this combination of time frames. Higher is the time frame, stronger the signal in provides Trading with multiple time frame analysis, very often you will encounter controversial signals: you may see a very bullish pattern on a daily and a very bearish confirmation on 30 minutes time frame. Always remember that the higher time frames confirmations are always stronger, and their accuracy is probability is always higher. Above there are 2 patterns: a head and shoulders pattern on a daily time frame with a confirmed neckline breakout, and an inverted head and shoulders pattern on a 4h time frame with a confirmed neckline breakout. 2 patterns give 2 controversial signals: the pattern on a daily is very bullish and the pattern on a 4h is very bearish. The signal on a daily time frame will be always stronger , so it is reasonable to be on a bearish side here. You can see that the price dropped after a retest of a neckline of a head and shoulders on a daily, completely neglecting a bullish pattern on a 4H. Each Time Frame Should Have Its Purpose You should analyse any particular time frame for a reason. You should know exactly what you are looking for there and what is the purpose of your analysis. For example, for day trading, I analyse 3 time frames. On a daily, I analyse the market trend and key levels. On a 4H time frame, I analyse candlesticks. On an hourly time frame, I look for a price action pattern as a confirmation. On GBPAUD on a daily, I see a test of a key horizontal resistance. On a 4H time frame, the price formed a doji candle. On an hourly, I spotted a double top, giving me a bearish confirmation. These trading tips will increase the accuracy of your multiple time frame analysis. Study them carefully and adopt them in your trading. ❤️Please, support my work with like, thank you!❤️
OANDA:XAUUSDEducation
by VasilyTrader
4
Learn What Time Frame to Trade If you just started trading, you are probably wondering how to choose a trading time frame . In the today's post, I will go through the common time frames , and explain when to apply them. 1m; 5m, 15m Time Frames These 4 t.f's are very rapid and are primarily applied by scalpers. If your goal is to catch quick ebbs and flows within a trading session, that is a perfect selection for you. 30m, 1H Time Frame These 2 are perfectly suited for day traders. Executing the analysis and opening the trades on these time frames, you will be able to catch the moves within a trading day. 4h, Daily Time Frames These time frames are relatively slow. They are mostly applied by swing traders, who aim to trade the moves that last from several days to several weeks. Weekly, Monthly Time Frames These time frames reveal long-term historical perspective and are mostly used by investors and position traders. If your goal is to look for buy & hold assets, these time frames will help you to make a reasonable decision. 📝When you are choosing a time frame to trade, consider the following factors : 1️⃣ - Time Availability How much time daily/weekly are you able to sacrifice on trading? Remember a simple rule: lower is the time frame, more time it requires for management. 2️⃣ - Risk Tolerance Smaller time frames usually involve higher risk, while longer-term time frames are considered to be more conservative and stable. 3️⃣ - Your Trading Goals If you are planning to benefit from short term price fluctuations you should concentrate your attention on lower time frames, while investing and long-term capital accumulation suite for higher time frames. Time frame selection is nuanced and a complex topic. However, I believe that these simple rules and factors will help you to correctly choose the one for you. ❤️Please, support my work with like, thank you!❤️
TVC:DXYEducation
by VasilyTrader
4
Your ULTIMATE Guide For Time Frames in Trading If you just started trading, you are probably wondering what time frames to trade. In the today's post, I will reveal the difference between mainstream time frames like daily, 4h, 1h, 15m. Firstly, you should know that the selection of a time frame primarily depends on your goals in trading. If you are interested in swing trading strategies, of course, you should concentrate on higher time frames analysis while for scalping the main focus should be on lower time frames. Daily time frame shows a bigger picture. It can be applied for the analysis of a price action for the last weeks, months, and even years. It reveals the historical key levels that can be relevant for swing traders, day traders and scalpers. The patterns that are formed on a daily time frame may predict long-term movements. In the picture above, you can see how the daily time frame can show the price action for the last years, months and weeks. In contrast, hourly time frame reflects intraweek & intraday perspectives. The patterns and key levels that are spotted there, will be important for day traders and scalpers. The setups that are spotted on an hourly time frame, will be useful for predicting the intraday moves and occasionally the moves within a trading week. Take a look at the 2 charts above, the hourly time frame perfectly shows the market moves within a week and within a single day. 4H time frame is somewhere in between. For both swing trader and day trader, it may provide some useful confirmations. 4H t.f shows intraweek and week to week perspectives. Above, you can see how nicely 4H time frame shows the price action on EURUSD within a week and for the last several weeks. 15 minutes time frame is a scalping time frame. The setups and levels that are spotted there can be used to predict the market moves within hours or within a trading session. Check the charts above: 15 minutes time frame shows both the price action within a London session and the price action for the last couple of hours. It is also critical to mention, that lower is the time frame, lower is the accuracy of the patterns and lower is the strength of key levels that are identified there. It makes higher time frame analysis more simple and reliable. The thing is that higher is the time frame, more important it is for the market participants. While lower time frames can help to predict short term moves, higher time frames are aimed for predicting long-term trends.
OANDA:XAUUSDEducation
by VasilyTrader
12
Attention Traders. DON'T Make This MISTAKE in Top-Down Analysis Most of the traders apply multiple time frame analysis completely wrong. In the today's article, we will discuss how to properly use it and how to build the correct thinking process with that trading approach. The problem is that many traders start their analysis with lower time frames first. They build the opinion and the directional bias analyzing hourly or even lower time frames and look for bullish / bearish signals there. Once some solid setup is spotted, they start looking for confirmations , analyzing higher time frames. They are trying to find the clues that support their observations. However, the pro traders do the opposite . The fact is that higher is the time frame, more significant it is for the analysis. The key structures and the patterns that are spotted on an hourly time frame most of the time will be completely irrelevant on a daily time frame. In the picture above, I underlined the key levels on USDJPY on an hourly time frame on the left. On the right, I opened a daily time frame. You can see that on a higher time frame, the structures went completely lost . BUT the structures that are identified on a daily, will be extremely important on any lower time frame. In the example above, I have underlined key levels on a daily. On an hourly time frame, we simply see in detail how important are these structures and how the market reacts to them. The correct way to apply the top-down approach is to start with the higher time frame first: daily or weekly. Identify the market trend there, spot the important key levels. Make prediction on these time frames and let the analysis on lower time frames be your confirmation. ❤️Please, support my work with like, thank you!❤️
OANDA:XAUUSDEducation
by VasilyTrader
15
The unknown obvious: resolution vs timeframeChart resolution and chart timeframes are the synonyms, true, but the difference between resolution based mindset and timeframe based mindset is huge. As it is in reality, pure charts are just tick charts that then get aggregated, mostly by time. So it's all the same data, just different amount in different detail. If you operate manually you free to scroll through all the resolutions, generally from lower to higher to gain all the information you need in best possible way. So you mindset is this, "I need more info ima be scrolling through resolutions and be gaining it". The term "timeframe" is much more applicable for automated trading. There, it's very complicated to use multiple resolutions at the same time for many reasons, instead it's easier to use multiple data ranges within one resolution. For example, you run a bot (not robot) on 1 minute chart, this bot executes & fine tunes the signals based on very short window of 4 datapoints, generates the actual signals based on 16 datapoint window, chooses a signal generation method based on 64 last datapoints, and chooses between competing assets based window length 256. Then you ran an ensemble of these bots on every 'timeframe', this way you can emulate but never achieve a proper manual operation. And it's good to use common but different methods on each of data windows to reduce correlations inside the ensemble, not like it's shown on my chart (disregard the levels).
CME_MINI:NQ1!Education
by gorx1
Learn How to Apply Multiple Time Frame Analysis Hey traders, In this article, we will discuss Multiple Time Frame Analysis. I will teach you how to apply different time frames and will share with you some useful tips. Firstly, let's briefly define the classification of time frames that we will discuss: There are 3 main categories of time frames: 1️⃣Higher time frames 2️⃣Trading time frames 3️⃣Lower time frames 1️⃣Higher time frames are used for identification of the market trend and global picture. Weekly and daily time frames belong to this category. The analysis of these time frames is the most important. On these time frames, we make predictions and forecast the future direction of the market with trend analysis and we identify the levels, the areas from where we will trade our predictions with structure analysis. 2️⃣Trading time frames are the time frames where the positions are opened. The analysis of these time frames initiates only after the market reaches the underlined trading levels, the areas on higher time frames. My trading time frames are 4h/1h. There I am looking for a confirmation of the strength of the structures that I spotted on higher time frames. There are multiple ways to confirm that. My confirmations are the reversal price action patterns. Once the confirmation is spotted, the position is opened. 3️⃣Lower time frames are 30/15 minutes charts. Even though these time frames are NOT applied for trading, occasionally they provide some extra clues. Also, these time frames can be applied by riskier traders for opening trading positions before the confirmation is spotted on trading time frames. Learn to apply these 3 categories of time frames in a combination. Start your analysis with the highest time frame and steadily go lower, identifying more and more clues. You will be impressed how efficient that strategy is. ❤️If you have any questions, please, ask me in the comment section. Please, support my work with like, thank you!❤️
Editors' picks
OANDA:XAUUSDEducation
by VasilyTrader
73
Multiple Timeframe AnalysisWhen traders ask "what was your light-bulb moment in trading", I often say 2 things: 1) stop worrying about what other traders are doing and focus on yourself making sure you are consistent with the trading strategy as that's how you will get consistent results. 2) understanding multiple timeframe analysis. Once I started focusing on myself and was consistent with my trading, I was able to review my journaled trading results and noticed by best trade setups happened when price has multiple timeframe correlations with both my enter timeframe and higher timeframe. The main purpose of the higher timeframe is to help me determine if I should be looking for buys, sells, or staying out of the market. The 2nd purpose of the higher timeframe is to determine the trend. Multiple timeframe analysis can be used on all trading strategies whether you trade supply and demand, support and resistance, chart patterns, or use trading indicators. All we are trying to do is determine whether we should be looking for buys, or sells as this will help us increase the probability of our trade. See Chart For Analysis. I also have a full break-down on my youtube: Moneyball Austin
XEducation
by MoneyballAustin
MULTIPLE TIMEFRAME ANALYSIS/TOPDOWN ANALYSIS What is multiple timeframe analysis? What is a top-down analysis? Most technical traders in the financial markets(crypto, forex, etc) whether they are novices or seasoned pros, have come across the concept of multiple timeframe analyses in their educations. However, multiple timeframe analysis is often the first level of analysis to be forgotten when a trader pursues an edge over the market. Multiple timeframe analysis involves monitoring the same currency/crypto pair across different timeframes. While there is no real limit as to how many timeframes can be monitored, or which ones to choose, there are general guidelines that we should follow as a trader. Using three different timeframes gives a broader view of any market. Using fewer than this can result in a considerable loss of data while using more typically provides redundant analysis and indecision. When choosing the three timeframes, a simple method can be followed. this rule has been developed and shared among our students, be it day traders, swing trader, or position trader the rule is applied to help the trader pick his/her best timeframe for top-down analysis
Education
by M2FINANCIALS
2
Two Multiple Timeframe Analysis HeirarchiesThese are two examples I would recommend for traders to follow when analyzing charts through Multiple Timeframe Analysis. These from the top down or bottom up help separate price action patterns into fractals that give a meaningful difference for making trading decisions. The mistake is using TOO MANY timeframes that do not provide a truly different glance at price action. Keep your timeframes separate to get the real story and remember... the Higher Timeframe is the Rule! See video idea for more in depth...
BITFINEX:BTCUSDEducation
by norok
Wait for the Easy Set-ups and the purpose of Trading I often have traders ask me, how can I get alot of trades? And my response is that is the wrong question, the purpose of trading is to make Money, Period. It is, imho, to make as much money as you can in as few trades and in as little of time as possible. Although I have several methods of trading, the SS MA method, shown here is my absolute favorite. It has an 87% success rate with a healthy 3-1 RRR. That said, I often ask those same traders "If you could consistently make 6-12% per week but could only take 2 trades, would you do it?" The answers are surprising as again, imho, anybody that says anything but yes really needs to rethink why they are trading. You should not be trading for the excitement, you should not be trading just to hit buttons. You should be trading so you can sit on a beach with the cocktail of your choice in hand. to that end, I would implore you to come up with your best trading methodology and trade only that. As I have prominently posted between my monitors, as a reminder to myself "Wait for the easy set-ups and don't do anything stupid in the mean time" :)
Education
by AGold54
20
How I trade News with high probabilty and a Great RRR :) Trading news can often be a nightmare especially trying to trade at the time of release as brokers often widen their spreads and slip orders to the extreme of the spike. This is a high probability method with Great RRR As you can see the market spiked up on worse then expected AUD GDP news. then the market went into a consolidation, and this is key to finding great entries. After the market consolidated for at least 60 minutes, look for a support level for a buy and a resistance level for a Sell. Place a limit order at the support/resistance level with stop appropriate for the pair. (in this example I am trading GBPAUD - my fav, so I use a 20 pip stop) Place your profit target at 5x your stop. This gives you a Robust 5-1 RRR. let the trade unfold. If you have any questions, either place them in the comments or message me Hope this helps :) Allen
Education
by AGold54
6
When Not to TradeSometimes it is better not to trade. Today for me, was one of those days. I was extremely tired, which happens from time to time as I get up at 1:30 am my time to trade. This can lead to mistakes. Today's trade idea is a good example, although GBPAUD was in a bullish run and I was looking and posted an idea for a pullback trade, there was signs of a reversal. I believe if I was awake and thinking clearly, I would have seen these signs from the beginning. Fortunately, I was able to close my long trade for a small gain (+ 5 pips). The following is a list of indications that I missed because I was tired. First, The market had already pulled back and bounced off of my moving average, so it is less likely to happen again; Second, the Ma was flattening, as opposed to staying in an uptrend, which is never a good sign; Third, I missed that the market had hit the 60 min Senkou A, which can always be expected to provide resistance; Fourth, The market fails to hold bullish as evidenced by the long wicks. Moreover, This is a great indication that the market is getting ready to reverse and a great selling opportunity IMHO, Trading is hard enough without making avoidable mistakes. I hope this helps others Allen
Education
by AGold54
2
GBPAUD Long example of how I tradeWhen looking for trades, my purpose is simple: I look for High probability trades with good RRR (risk reward ratio) I consider a trade high probability if it has an 80%, or better, historical success rate. A good RRR (risk reward ratio) is 3-1 or better. meaning that we are risking $1 to make at least $3 Understand that by maintain a 3-1 RRR, even if I lose over 50% of the time, I will still make money. Combine that with High probability trades and your golden. That said, there are not a lot of trade opportunities that met this criteria everyday. So I am not the guy who is going to post alot of trades, most days I only take 1 trade. I risk 2% per trade,( because I have earned that right which is a different conversation), to make 6%. Generally, I will net 15-20% per week. I start with a strength and weakness anylasis from the prior day's trading and rank the currencies numerically. for example today "S GBP 5" means that GBP was ranked 5th while "W AUD 7" Aud was ranked 7th obviously GBP was stronger than Aud. So we start the day with a Buy bias. this is confirmed before I start trading, which is generally at the European open (currently 2am est). I then look at multi-frame analysis using Ichimoku Kinko Hyo concepts. Primarily the Kejun-Sen (KS). I look at the Daily the 60 and the 15 min Tf's. Ideally, price will be above/below the KS on all 3 tf's, but the Daily as in this example is not necessary. Moreover, we need price above/below the Ichimoku Cloud. Next is the Asian box, if the market has consolidated during the Asian session, as it often does, I will mark the high and low, creating a box. In the example above, we have the 60 KS (blue line), which is above the cloud at 1.82119. that is the bottom of the box as it is a place that found support during the Asian session. The Daily Senkou B, in this case provides the top of the box. Generally, the Daily Senkou's A and B, provide solid resistance or support. Putting it all together, in the above example, since price is above the 60 Ks, the 15 Ks and the cloud in the conformity with our directional bias, we have a Type 1 trade, which has an 87% success rate. these trades are Great!!! We have 2 potential buy entry points: 1st is a pullback to the bottom of the box at he 60 KS the 2nd is a breakout trade. However because in this example we are using the Daily Senkou B as the top of the box we need a close above it, not just penetration. As you can see the 2:45 candle closes above the Senkou B and we can enter a long trade. Using a 20 pip stop and a 60 pip profit target. This hits perfectly (what a great example) but seriously you can look back at my other trade idea's and see similar results . I hope this provides a general idea of what I am trying to do tradewise. feel free to hit me with any questions AGold 54
Education
by AGold54
6
AUDUSD Long Multiple TF AnalysisTechnical Analysis: ----- * Weekly Fake Breakout to downside —> Bullish Pinbar * Daily support zone * Daily IB since 8 days -> Fake breakout ------ * 4H Pinbar with retest breakout falling trendline * 38er Retracement Fibo on 4H and daily last bullish move ------ * 1H Divergence building up, break to the upside (triangle) * —> 4H/1H/15m/5min/1min Pinbar ----- * Huge 1min RSI divergence * —> 1min Pinbar @ 0,618er Extension & Retest falling trendline
Education
by Wizardofassets
Comprehensive Trading ProcessDisclaimer: If you are primarily interested in copying other people’s trades then this is not for you. However, if you are willing to put in the work that it takes to learn how to trade for yourself then you have found the right place! Nevertheless please be advised that you can give 10 people a profitable trading strategy and only 1-2 of them will be able to succeed long term. If you fall into the majority that tries and fails then I assume no responsibility for your losses. What you do with your $ is your business, what I do with my $ is my business. Consensio: (King) 5% when Price crosses Short Term MA | 10% when Price crosses Medum Term MA | 15% when Short Term MA crosses Medium Term MA | 20% when Medium MA turns over | 25% Price cross Long Term MA & Long MA flattens / turns over| 25% Golden Cross Patterns (Queen): Favorites: hyperwaves, parallel channels, descending triangle, head & shoulders, Wyckoff’s, double bottoms & tops, flags | Least favorite: symmetrical triangle Horizontals (Rook): Horizontals > trend lines Trendline (Bishop): Very powerful when used in combination with Consensio. One of my favorite setups is a trendline break alongside a reversal in Consensio. Parabolic SAR (knight): Best tool I have found for setting / adjusting stop losses. Can also be used as no trade zone. For ex: if wanting to go long and SAR is bearish (above price) then could / should wait for SAR to break before entering. BTCUSDSHORTS (pawn) : If shorts are at / near ATH’ levels then I do not want to be short and will actually have a bias for going long. Funding Rates (pawn): Helps me to understand supply / demand. When shorts are getting expensive then I expect a short squeeze to be around the corner. Contango / Backwardation (pawn): Not a timing indicator. Is used to determine bullish / bearish bias and can help to identify tops / bottoms / support and resistance. Watch the video series and Google “Ugly Old Goat Backwardation” to learn more. TD’ Sequential (pawn): “The trend is your friend until it’s about to end” -Tom Demark | Used to identify when a trend is becoming exhausted which can be very helpful to confirm or deny an entry. Ex: if wanting to go long on a green 7/8/9 then would strongly prefer to enter on correction that is expected to follow. Average Directional Index (pawn): Used to identify when trends are becoming exhausted. When ADX’ reaches resistance / ATH levels then it is likely that the trend is reaching a point of exhaustion Ichimoku Cloud (pawn): Starting to use traditional settings across the board. Crypto settings seem to make the cloud useless when markets are volatile, whereas the traditional settings seem to line up nicely with the MA’s I use for Consensio. Price Action (pawn): Helps me understand when markets are overbought / oversold in the short term. In my experience it is very rare for Bitcoin or Ethereum to move more than 10% in 24 hours. Therefore if I am wanting to enter long and the price is + > / = 7% in the past 24 hours then I will be very cautious and usually wait for a pullback / consolidation. Bollinger Bands (pawn): Very helpful for recognizing when a trading range is coming to an end, which can be very useful for spotting trends that are just starting / about to start. Also like the Bollinger Band % to help illustrate extremes. Relative Strength Index: Divergences can be very useful for understanding short term price movements and potentially full on reversals. When markets are moving I like to check the RSI on the 1h and 4h charts and pay close attention to divergences as indication that a trend could be exhausting. Stochastic Oscillator: Very useful in trending markets that have not gone parabolic. Can be helpful in ranging markets as well, but not nearly as much. Can get some very good signals on the 3d chart. If there is a buy / sell signal then I think it is best to wait for %K and %D to cross the boundary lines before considering it significant. Hierarchy of Indicators The best traders know which indicators are most important at which times. A trader is like a carpenter and the indicators are akin to his toolbelt. Through experience he or she knows which ones to reach for, exactly how they are used and what adjustments could be required for a specific circumstance. It is one thing to understand that an MA rolling over is an indication of a trend reversal. It is entirely another to fully believe it and be able to act on it. Next is understanding which indicators can be disregarded at which times and which should always be taken into account. Above lists my indicators by order of importance. However that is only a default and it will change based on market conditions. For example: if a hyperwave is present then patterns become more important than Consensio and trendlines become more important than horizontals. If market is parabolic then I find the Stochastic useless and will adjust the settings on the RSI to 30. If no trend is present then the Bollinger Band can go from a pawn to the King. It would take much too long to go into all of the different variables I can think of and how it can change the hierarchy of indicators. What is important is that you start to develop the feel for it yourself. The only way I know how to do that is through checking all of them on a regular basis, in all different types of markets (bull, bear, flat, parabolic). Learn -> Practice -> Fail -> Learn -> Practice -> Understand -> Apply -> Internalize -> Believe -> Achieve -> Fail -> Learn Monthly, Weekly & Daily Processes Daily Check daily close every day. If entry or exit was signaled then make sure to get filled within 30 minutes of close. If passing on an entry signal then notate why. Never pass on exit signal. Update trading ledger to reflect any changes (I will be posting my results in the 2 > 20 Bitcoin Trading Challenge). Go through the TA Process listed above on a daily basis (I post my analysis in the Bitcoin' Daily Update). Make sure that you are highly focused during the candle close otherwise the mistakes will compound. I prefer to go to the gym on a daily basis and be disciplined about my diet in order to maintain a high level of focus. I have also committed to a daily hot springs meditation session that has proven extremely valuable over the past year. For anyone that watches Mr. Robot think of Tyrell Wellick chopping wood while confined by himself in the forest. Having a task that is repeatable on a daily basis provides balance, perspective and focus. I find a consistent sleep schedule to be vital in my performance as a trader. I make sure that I am in bed by a certain time so that I wake up feeling refreshed / energized and ready to trade. Weekly On Sunday I will analyze the weekly chart instead of the daily chart. Trading ledger that gets updated daily is used for weekly PnL statements which get done on Saturday morning instead of preparing for traditional markets to close. I keep an excel spreadsheet for each exchange I trade on and include sections for Date, Entry, USD Inventory, BTC Inventory, Withdrawals, Delta, PnL, Unrealized PnL, In position. When I first got into crypto I completely disconnected from my friends and family. To ensure the first doesn't happen again I commit to two social activities per week and for the latter I commit to calling my mother every Sunday. Monthly Review biggest trades from prior month. Dissect entries, exits and position sizes. Everything should be repeatable / explainable in hindsight. If it isn't that means I didn't stick to the guidelines and that is mistake. I cannot expect to be a perfect trader, however I can expect to learn from my mistakes. Monthly Best & Worst Dressed List. After reviewing the trades find the best and worst examples. Print out the charts, notate why they made the list and put them in a binder. In the short term, how I trade is exponentially more important than how much money I make or lose. Therefore if the monthly PnL was subpar but very few mistakes were made on the worst dressed trades then I consider that a huge success and will expect the variance to even out in the medium - long run. Weekly PnL statements is used for monthly PnL statements -It feels really good to make a lot of money and it can feel very frustrating when results do not meet expectations. This is why I believe that is it vital to focus on the process and improving instead of the results. A few good results could be the byproduct of luck. One good / great process will lead to sustainable results as long as you can remain disciplined / diligent. While some may prefer to be lucky rather than good I strongly prefer to put in the effort that it takes to be good. Furthermore luck seems to be attracted to those who put in the consistent effort. Nevertheless I still track short term results because I have bills to pay. Eventually I would like to only pay attention to annual results. “So you want to be a carpenter, do you? Well it takes more than a hammer, boy, you're gonna need blueprints and a will to build, and Straighten your cap! you look like you've been through a war. Wipe that grin off your mug, you got a sturdy frame? Sluggish posture just won't cut it. You're gonna need schooling, and, and, and take notes! And god if I catch you yawning again you're gonna regret ever asking for my help, And dammit you gotta hustle, this is a slacker-free zone And, where's my pencil? go get your hard-hat, here's a nickel, go get us a ruler and a saw and a drill and lots of graph paper!” -Aesop Rock
BITSTAMP:BTCUSDEducation
by Sawcruhteez
5