What time frame is best for PRICE ACTION?

Trading Discussion
1

Hey all.

Hope trading is well and good

I have a pretty good system which is getting me profits.

Just wanted to ask the community, which time frame you all trade and why?

I use a top down approach from weekly down to the 4hr, Now when I am entering traders I go down to the one hour to enter but that’s all, all my analysis is done on the higher time frames.

2

I only stick to the weekly and daily timeframes, but only because I haven’t had a real opportunity to backtest the 4H (and below) timeframes.

FWIW, my backtests on the daily and weekly TFs show positive profit factors. :slight_smile:

3

Depends on your trading style and risk tolerance. If you like lots of action, trade the 15M and less. If you have limited time and don’t like to be in front of a screen look at the 1H and above.

Personally, I like the 15M because I know I will find 2 or more trades every day. Less than 15 signals are too unreliable, but perhaps if I got more experience, my confidence would increase. My experience with 1H was getting 2 or 3 trades per week and my learning was too slow because I would forget what I learned from previous trades.

Off topic, but I never see anybody recommend the 30M. I guess its an odd duck

4

Hey,

I like the 15m best, but use the 1hr, 30m, and 5m too.

Have a search for a member called Jonathan fox, think his user name is forex school online. Haven’t ever signed up for any courses but has some interesting free info on timeframes etc.

CSM

5

I am also using PA based system and consider lower to higher time frames. You can use any time frame if you can catch the right side of the trade.

6

Thanks for the input guys,

Do you find that the lower time frames are more unreliable?

I.e. do the support and resistance levels still hold, or do you draw them on the higher time frames?

7

That depends on the trading personality that you prefer. If you are a scalper you can use Lower time frames to draw S & R levels. If you are a long term trader you can use higher time frames. I saw a good article few days ago here on babypips. May be that will help you to get some idea on time frames and trading setups.

http://forums.babypips.com/newbie-island/50558-trading-not-fashion-contest-great-articl.html

Good luck