Multi Timeframe Analysis
Last updated
Last updated
A True multi-timeframe analysis looks like all of the concepts we discussed earlier.
With the four hours time frame, we can see that price broke the last demand Zone to the downside within the efficiency, so this candle that created the inefficiency will be our order block and a perfect Zone to look for short opportunities. So overall, we have a bearish bias in the four-hour time frame.
Since the price has reached our area of Interest, we will zoom in for one hour to see what is happening. We see that we are in an uptrend in the one-hour time frame, so we need reversal signals be facing any trade. Also, we can spot these equal highs, which is a perfect liquidity zone for someone who wants to sell the market and needs a lot of buyers.
Finally, we will zoom in 15 minutes to execute a Possible Trading opportunity. Here in the 15 minutes, many interesting things are going on.
After mitigating the four hours order block, we see a supply and demand flip pattern. First, the market broke through structure witMarketficiency, leaving an extreme demand Zone behind, but after testing this demand, the market failed to make a new higher high which shows momentum loss.
Secondly Market breaks this demand Zone to the downside with momentum, which signals a possible trend change. The Candle that created inefficiency will be our order block supply Zone.
This is how we execute the trade. We will place a sell order with a spread size below the order block Zone with our stop protected at swing high, and we will Target the next level of structure. Also, we will track our profit, meaning that every time Market makes a new order block, we will adjust our stop loss and secure some of our profits.