HotForex’s Senior Currency Analyst Stuart Cowell explains what is multi time frame analysis and how we can identify support and resistances easily.
What is multi time frame analysis?
1. Following a market in at least two time frames or resolutions
2. Defining the dominant trend in higher time frames and timing entries in smaller time frames
3. Using a Top Down approach. it helps us to focus on the dominant trend and trade with the prevailing momentum
4. Using A) the longest time frame for identifying major S/R levels and trend, B) the intermediate resolutions for confirmation of the long terms analysis and recognizing important pivot points, and C) the smallest timeframe for entry signals
Cowell also explains what are price pivots: Pivotal highs and lows and how to identify when a market is trending. What to do in uptrends and how to take profit of downtrends; timing in short and long
Disclaimer: Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of purchase or sale of any financial instrument.
Editors’ Picks
EUR/USD trades weak below 1.0800 amid Good Friday lull, ahead of US PCE
EUR/USD remains depressed below 1.0800, as traders lack directional impetus amid minimal volatility and thin liquidity on Good Friday. The pair keenly awaits the US PCE inflation data and Fed Chair Powell's speech for fresh hints on next week's price action.
GBP/USD holds steady above 1.2600 as markets stay calm on Good Friday
GBP/USD trades sideways above 1.2600 amid a typical Good Friday trading lull. A broadly firmer US Dollar could keep any upside attempts limited in the pair ahead of the US PCE inflation data and Fed Chair Powell's appearance.
Gold ends Q1 2024 at record highs, what’s next?
Gold is sitting at an all-time high of $2,236, lacking a trading impetus amid holiday-thinned conditions on Good Friday. Most major world markets, including the United States are closed in observance of Holy Friday, leaving volatility around Gold price highly subdued.
Ripple's move above this key level could trigger nearly 50% rally for XRP
Ripple price has overcome a critical resistance level and flipped into a support floor on the weekly time frame. This development happened while XRP tightly consolidated for roughly 250 days.
US core PCE inflation set to ease in February on month as Federal Reserve rate cut bets for June mount
The core Personal Consumption Expenditures Price Index is set to rise 0.3% MoM and 2.8% YoY in February. The revised Summary of Projections showed that policymakers upwardly revised end-2024 core PCE forecast to 2.6% from 2.4%.
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