Introduction and a Silly Question

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1

Good morning… (UK time).

I like the way this site discusses and teaches Forex Trading.

I’ve been involved with trading for a couple of years… practicing. Then I took a break. I’ve recently gone live and have seen good success and one or to stupid mistakes!

Hope it’s ok to ask a question?

I have a question about decision making… (trade entry) that has been bothering me for a while.

I believe in using multiple time frames. So, I want to trade the 1hr time frame. I will use the 4hr to deterime trend and support & resistance. On the 1hr I confirm my view of the 4hr. On the 15 minute I’ll look for an entry point. I use DMVT (ADX), MACD and Stochastics, as well as interpreting the candles. My question is this (and it might be a daft one)… Should I expect ALL the indicators on each time frame to read the SAME way?

So… if on the 15m time frame (my entry decision time frame) the indicators don’t agree with the 2 longer time frames I should wait or abandon the trade?

Could I get a view on this.

Many thanks

Steve

2

Hi, I am a supporter of statistical advantage, so on my part, I can tell you to carry out research on which of these methods achieved good results in the past and promise to be good for the future. Regards Greg

3

i thnk different indicators work differently on different assets. i dont htink the timeframe is too much of the issue however some will be more accurate than others you will find. i think its just a matter of finding th eones you feel give you the best result on your analysis and go fromt here.good luck

4

Welcooome! :slight_smile: It’s nice to have new experienced traders in the community. :blush: That’s an interesting question and it really takes discipline and dedication to get to consistently check all those indicators before putting in a trade. :smiley: Good jooob! :blush: I’m sure it’s been challenging to get the same reading from those every time? :open_mouth: What has worked best for you in the past?

5

Hey Ria_rose. Love the name.

So… The reason for my question is that if the indicators don’t all line up the same on each time frame I then worry about taking a position. So I’ll either rush in too early or wait to late and miss the opportunity. I recognise there’s risk no matter what… but let me put it like this… over 2 weeks I took profit in 4 figures. To achieve that I’ve chosen a currency pair and examined the Daily and four hour chart. I then go down the time frame to 1hr and see if the indicators all read the same as the longer time frame. Then I go to the 10 minute chart to enter the trade.

But I’ve also made some mistakes which I have analysed and understood how I made them.

Essentially, on ALL the time frames I’m looking for the 3 indicators to all give me sell signals or buy signals but not a mix of both! But that’s the trouble with the 15 minute chart… It seems to sometimes diverge from the signals from the 2 longer time frames… That’s what bothers me.

I think the Stochastic indicator tends to be the one that gives me mixed signals… I THINK that’s because there is greater chance I’m watching a counter-trend…

Am I making sense?

6

Yes! :slight_smile: (I hope I got what you were trying to say though. :sweat_smile:)

Hmm. :thinking: I read your post over and over again and although I really admire the dedication to check out all those time frames and seeing if the indicators for all these time frames are the same, I think you could make decision-making a bit easier? :open_mouth:

People typically just monitor 3 time frames: Long-term, medium-term, and short-term. :open_mouth: From what I’m getting, you try to monitor at least 5 time frames and maybe that’s also what’s messing with your indicators?

7

I’m not sure if I’m making sense. :frowning: But maybe it would help to first get to decide the 3 time frames that are most essential to your trading strategy? :open_mouth: Oh btw! Do you follow particular strategy for your entries and exits? :slight_smile:

8

Hey good to hear from you.

I don’t think I made myself clear… my practice is to consider just 3 time frames… usually 4hr, ihr 10min.

I think my question refers mostly to the possibility that of those 3 time frames it’s usually the 10min TF that gives me mixed signals. I’ve learnt not to trade if that’s the case.:cold_sweat: Just in case it goes wrong.