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 holds losses below 1.0900 amid cautious mood
EUR/USD is posting small losses while below 1.0900 in the European session on Tuesday. The pair treads water amid a cautious market mood, as traders weigh the US political updates and China slowdown worries. The US Dollar holds steady, in the absence of top-tier economic data.
GBP/USD stays pressured toward 1.2900 as US Dollar stabilizes
GBP/USD is on the defensive toward 1.2900, lacking firm direction in European trading on Tuesday. The US Dollar looks to stabilize after the early decline, weighing on the pair. Traders await mid-tier US housing data for fresh trading impetus.
Japanese Yen improves as US Dollar remains tepid due to rising odds of Fed rate cuts
The Japanese Yen extends gains as traders expect the BoJ to raise rates next week. Toshimitsu Motegi, a senior official in the ruling party, urged the BoJ to communicate its plan to normalize monetary policy. Media reports indicate that Vice President Kamala Harris has now surpassed 1,976 Democratic delegates, securing the party's presidential nomination.
Editors’ Picks
EUR/USD holds losses below 1.0900 amid cautious mood
EUR/USD is posting small losses while below 1.0900 in the European session on Tuesday. The pair treads water amid a cautious market mood, as traders weigh the US political updates and China slowdown worries. The US Dollar holds steady, in the absence of top-tier economic data.
GBP/USD stays pressured toward 1.2900 as US Dollar stabilizes
GBP/USD is on the defensive toward 1.2900, lacking firm direction in European trading on Tuesday. The US Dollar looks to stabilize after the early decline, weighing on the pair. Traders await mid-tier US housing data for fresh trading impetus.
Gold price remains at bay with US data in focus
Gold price trades with caution in the countdown to a string of US economic data. Firm Fed rate cut hopes to keep the upside in the US Dollar limited.
Bitcoin price struggles around $67,000 as US Government transfers, Mt. Gox funds movement weigh
Bitcoin struggles around the $67,000 mark and declines by 1.7% at the time of writing on Tuesday at around $66,350. BTC spot ETFs saw significant inflows of $530.20 million on Monday.
Big tech rebound ahead of earnings, Oil slips
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Tesla and Google are due to report earnings today after the bell, and their results could shift the wind in either direction. Despite almost doubling its stock price between April and July, Tesla sees appetite for its cars and its market share under pressure.
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