Which Chart Time Frame Do You Prefer?

[Gwenallt]

Akuma99,
Thank you very much for your reply. Do you ever trade longer time frames such as daily or weekly bars ?
If so, any general or strategic details you could share ? I am trying to put together a model whereby I can trade using a daily timeframe as a minimum.
Cheers,
G.

 

[Gwenallt]

Bbjit,
Many thanks for the advice - this is exactly what I am looking for and am very grateful for your guidance.
I am also loking at developing a model that uses traditional supp/res lines for weekly bars with indicators such as MACD and stochastics . Wondering if you have any experience or advice on this ?
Thanks again, good trading to you,
Best...
G.

 

[bbjit]

Bbjit,
Many thanks for the advice - this is exactly what I am looking for and am very grateful for your guidance.
I am also loking at developing a model that uses traditional supp/res lines for weekly bars with indicators such as MACD and stochastics . Wondering if you have any experience or advice on this ?
Thanks again, good trading to you,
Best...
G.

To be honest I have not done a lot of work on stochastics and MACD, I am sure there would be a better qualified trader to answer your questions. I know Alexander Elder( from come into my trading room fame) uses the MACD as an indicator on his "Triple Screen Method", but then again he is only and author and a seller of courses, so I don't know if he trades his own systems he professed.

 

[PipCrawler]

There's a million simple systems out there that work, but if you don't have discipline and a proper money management then there's no chance for any of them to work. One of my favorite simple systems is the breakout method. Send me a message or email me and I'll send ya some ebooks i've collected with simple systems you can demo and see which ones work for your comfort level and schedule.

 

[Akuma99]

Hi Gwenallt,

Personally I don't trade of daily charts, but occasionally glance at them if trying to confirm a trend change, however I have found that the same system I was using on the shorter timeframes moved just fine to the mid term charts, I cannot see why it wouldn't apply the further out I go. I note bbjit reference to Alexander Elder's book, this was one of my first books I read when coming into fx, and the basic principals he talks about are quite good, encouraging vigilance and discipline.

I experimented with a multitude of indicators, incliding the MACD but found it gave just as many false signals as correct ones and didn't put me in tune with the market. Now I trade with trend lines, support and resistance, overall macro patterns and not too much else, and I find that by doing this, I am more in tune with the market and the emotions behind it (essentially we are all trading off the group emotions, something referred to in Elder's book I think as well), and my trading has benefited no end.

I would recommend to any new trader, to spend some time trading a virtual account "naked" without indicators, even if they intend to use indicators when they move to a live account, as a way of getting you used to the general patterns that form in the markets everyday.

 

[Gwenallt]

There's a million simple systems out there that work, but if you don't have discipline and a proper money management then there's no chance for any of them to work. One of my favorite simple systems is the breakout method. Send me a message or email me and I'll send ya some ebooks i've collected with simple systems you can demo and see which ones work for your comfort level and schedule.

Very kind, points noted and thank you for the help.
I've sent you a PM.

Many thanks,
G.

 

[commanderco]

Which Chart Time Frame Do You Prefer?

This will depend upon your personal preference,the time zone you live in and the markets of your choice.
In fact it will depend upon a number of factors of your making, but it will not depend upon the attributes of a particular TF.
You can make and loss money in any TF.
Do not be guided by people who tell you that some TFs are noise only. This statement serves to demonstrate their lack of understanding of that TF and perhaps the markets in general.
Do not be guided by people who tell you that some TFs generate more profits than others.
This is a fallacy.
Volume is the great multiplier of profits and it comes from confidence and confidence comes from a combination of knowledge and discipline.
Apply your efforts to understanding that the markets consist of buyers and sellers.
Work out at what TF these people trade at and begin your journey from here.
If you enter trading at a particular TF it is like opening a novel at random and hoping you will understand the plot by the last page.
Begin at the begining .... Once upon a time there was a willing buyer and a willing seller.

 

[pttrader]

Which Chart Time Frame Do You Prefer?

This will depend upon your personal preference,the time zone you live in and the markets of your choice.
In fact it will depend upon a number of factors of your making, but it will not depend upon the attributes of a particular TF.
You can make and loss money in any TF.
Do not be guided by people who tell you that some TFs are noise only. This statement serves to demonstrate their lack of understanding of that TF and perhaps the markets in general.
Do not be guided by people who tell you that some TFs generate more profits than others.
This is a fallacy.
Volume is the great multiplier of profits and it comes from confidence and confidence comes from a combination of knowledge and discipline.
Apply your efforts to understanding that the markets consist of buyers and sellers.
Work out at what TF these people trade at and begin your journey from here.
If you enter trading at a particular TF it is like opening a novel at random and hoping you will understand the plot by the last page.
Begin at the begining .... Once upon a time there was a willing buyer and a willing seller.

You are sounding more and more like SOC. Is that what you really want?

 

[commanderco]

You are sounding more and more like SOC. Is that what you really want?

Life deals funny hands sometimes. I just play as I see it

 

[pttrader]

Life deals funny hands sometimes. I just play as I see it

Have things settled down in ARG?

 

[commanderco]

Have things settled down in ARG?

We dont like things to settle down too much really, it takes the spice out of life.

The economy is pumping and BA is gone crazy.
Now of course all the unions want a bigger slice of the cake before it is baked
and there are strikes frequently. The current one involving the airline is very serious.
Talk about strangling the chicken before it has grown, however this is lat america.

 

[virshah]

Stopped out

Hi ,Surely seeing daily volatality in forex it is hard to survive in just 15 pips in euro,yen,chf& in gbp a20pip .However you have gone through Euro fractal method by daytradeforexteam.Sounds good strategy in it.
Viren

Just out of interest i am asking really.

I think lots of newbies get drawn to short term trades but from a few years trading experience i would have to say this is a foolish way to trade forex, the markets move in such wild swings having anything less than a 20 pip stop is very risky.
Personally i think it is best to work from an hourly and 4 hourly chart and look for at least 50 pip moves sometimes more, with around a 25 pip stop loss.
What is your personal approach? Any traders out there that have consitently made more money from a 5- 15 min chart? I see the shorter time frames flawed because in order survive in trading one should have around a 1:2 risk reward model i feel. Assuming you have a stop of 15 to 20 pips i always found finding a 30-40 pip move on shorter time frames a high risk approach.

Tom

 

[SOCRATES]

You are sounding more and more like SOC. Is that what you really want?

Don't be so cheeky and naughty. What he is saying makes perfect sense, and is very well explained.

 

[jasy22]

I came into trading wanting the "excitement" of short term trading, starting on 5M charts ... moving to 15M. While profitable, I found it a drain to be constantly monitoring trades that were netting 10-20 pips on average, once I moved to 1H/4H charts, trading became so much more relaxing for me and something I could sit back and enjoy. I agree with the sentiments, that it is up to what suits your personality and the lifestyle you want to lead.

Funny quote, you should always cover yourself when naked!

I have just started trading forex majors, i use 5-15 min charts with a 15 pip stop.
I can usually get 25-40 pips with this timeframe, but i am aware it is riskier and less reliable than long term.

I would like to trade hourly charts but the stop loss needs to be bigger and therefore the possible loss, and my account will not last as long if i had a losing streak.
How do you get around this, also if you use hourly or 4 hourly and keep your trade open for a week and you are following the trend, what happens if the market news reverses the trend like it did to me today, i was short on gbp/usd i was up 30 pips, because my broker said NFP was being released at 2.30pm GMT i thought i was not trading during news, but the news came out earlier than stated which i realised when all of a sudden
my 30 pip gain which was getting bigger shown by bollinger band unable to contain it
suddenley reversed 70 pips in about 2 seconds.

How is it possible to avoid these things?

 

[MrGecko]

Bloody hell, how old is this thread??

Anyway; a little trick i have is to look at the 8 hr timeframe - you can set it up so the bars run one for each session (London; US; overnight, tokyo etc...). Good idea, eh?

 

[nguy]

charts

I use 15min as trigger and 60min to find key supp/res levels.
Withs stops around 30-40pips im looking for moves around 100-300pips.
It can be done with pivot zones,trend lines,and 6day ema.
Or all in one.
on high risk you can made fast nice profits,ONLY if you are master in your system.
Take a look at statements from this month.

question for you as I am a novice here. So you use 15min to trigger and 60min for supp/res level so what do you use to enter the trade . Plus if you have a scenario that on the 15 min the trend is up and on 60 min the trend is down, what would you do ?

 

[nguy]

Bloody hell, how old is this thread??

Anyway; a little trick i have is to look at the 8 hr timeframe - you can set it up so the bars run one for each session (London; US; overnight, tokyo etc...). Good idea, eh?

how do you get an 8hr timeframe ?

 

[MrGecko]

I don't know if you can on all packages; if you can select the number of minutes per bar, try 480 - this is how I do it.