Why you should use multi timeframe analysis ?
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  • #1 Collapse

    Why you should use multi timeframe analysis ?
    Brief about:
    Benefits of multi timeframe analysis.
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    https://forum.mt5.com/showthread.php...1#post15059081
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  • #2 Collapse

    Usage of the multiple frame chart and there benefits

     definitely different chart frames used for the different analysis because the strategy is almost different so on trader if find any perfect position for the trading on the H1 frame hart frame t in some cases if he /her get fail form this frame chart analysis then he / her use the different frame chart for the analysis .
     also lets see if any trader use the RSI indicator on the H4 frame chart or on the Daily frame chart D1 then if it give the perfect signals on these two frame chart and he /her want to be more perfect and thats why he/her in the some cases use the Weekly frame chart W 1 and the monthly frame chart MN1 so i think that this is A other reason for to be perfect .
     Regularly this is generally basic thing about the trader who like to exchange intraday or try to apply scalping systems they drop down to the M15 moment or M30 diagrams where there is by all accounts more activity and greater chance and they begin exchanging just to find that they frequently end up on an inappropriate side of the market.
     if any trader find the secret of the different frame chart for the best analysis then he /her never fail into the trading and always he/her used the perfect strategy for the best trading and this lead him/her to the journey of become an successful expert trader and this is the for for them to be rich form the trading so all of these topics are the benefits of using the multiple frame chart for the best trading
     support and resistance levels on the multiple frame chart giving the perfect indication for the good trading mostly the successful trader use the daily frame chart for try to find the levels of the support where the prices hold for the many candles and the resistance where it touched the last position n the bullish or in the bearish side area .

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    • #3 Collapse

      The importance of multiple timeframe analysis is seriously underrated, most of us are stuck with making entry analysis with just one timeframe which is wrong. The fact is, as a trader no matter the timeframe you’re trading, there’s always someone behind hunting you. Let’s say on the 60M TF you’re buying in an uptrend market, what most traders don’t know is that the market could be in a downtrend on higher TF. So it’s important to make use of different TF to analyze the market.

      Using multiple time frames gives you a glimpse of what recent data is telling a trader. If you trade price action you will know there’s an edge to that strategy, which is the use of the most recent trading data to inform your trading decision. But there are many price action traders who don’t make use of this advantage. If you make use of one chart to analyze your pair, then you’re missing out on information data.

      Another point is that using a multi time frame analysis gives you a good context of price movement. This context is very important when it comes to avoiding uninformed trading decisions. If you’re making use of less than two time frames to analyze the market you’re basically risking your money. You must have an idea what the overall market looks like, the major S and R, key levels as well as the market power. The market trend of the pair you’re trading might be different than where the long term trend is heading.

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      • #4 Collapse

        At first we need to know what is mean by using multiple time frame in forex market then we will discuss about the benefits of using multiple time frame in forex. when we analysis the market by watching various time frame and take decision using this multiple time frame this is called multiple time frame analysis. Suppose we are seeing the market of the eurusd pair. The daily time frame says the market is uptrend and H4 time frame says the market goes down trend. Now what should I do. By analysis various time frame we can take decision for taking trade here. we need to follow longer time frame that means the market will go up trend according to daily time frame. And h4 says downtrend so we need to wait for the bullish confirmation in the h4 time frame. This downtrend of the h4 must be pullback. After ending the pullback we can get bullish confirmation here. then the price will go up. Now I am trying to say why we should use multiple time frame in forex.

        1. Multiple time frame make the analysis so much accurate.
        2. A trader can take best decision for the market by using multiple time frame.
        3. Multiple time frame is best option to set proper take profit and stop loss.
        4. For making pending order multiple time frame helps a lot.
        5. Multiple time frame analysis increase the chances of our winning in forex business.

        So I want to use multiple time frame analysis when I make trade. When multiple timeframe suggest me to open trade only then I take trade on the forex market. it helps me to make successful trading career. so I suggest all to use multiple time frame here.

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        • #5 Collapse

          Multi time frame analysis

          Why you should use multi time frame analysis ?
          Using multi time frames to analyze the market can provide you with good overview about price trends. Where, there are three main types of trends in Forex market, which are :
          • Major trends : Refers to primary trend of the market, which typically last from weeks to months. So, this type of trends can only be detected using the big time frames, such as the time frame 1 day, 1 week, and 1 month.
          • Intermediate trends : Refers to secondary trends, which typically last from days to weeks. So, this type of trends can only be detected using the medium time frames, such as the time frame 1 hour and 4 hours.
          • Minor trends : Refers to short-term trends, which typically last from hours to days. So, this type of trends can be detected using the small time frames, starting from the 1 minute time frame to the 30 minutes or 1 hour time frame.

          So, it is very important to use multiple time frames during making technical analysis to the market in order to be able to identify the overall condition of the market via gathering enough information about current situation of the market to know well direction of its major, intermediate, and minor trend. Because this will make us able to take the right decision during the trading about the good entry point that we should wait it to enter the market. But using one time frame only during the technical analysis may make us enter the market with the wrong direction, and this may leads us to face big losses if the market moved suddenly against us with the major trend of the market.

          Example of using multiple time frames during the technical analysis :
          For instance, on the monthly time frame of the EUR/USD pair, we can see that major trend of the EUR/USD pair is bearish. As you see in the image below :
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          Now when you go to a smaller time frame, such as the 4 hours time frame, you will be able to determine the intermediate trend and also you can determine the minor trend. As, you see in the image below :

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          • #6 Collapse

            Before going into the detail, we should have the basic knowledge of Multi-time frame analysis. When we enter in the market before opening our trade, we analyze the TIME-FRAMES in respect of our currency pair. When we view our respective currency pairs through different TIME-FRAMES, in forex trading this process is called multiple-time frame analysis. Now the question is how many kinds of TIME-FRAMES we can use to analyze the trends of the market.

            We can use three kinds of TIME-FRAMES in FOREX TRADING which are as follows:
            Large time frame: Large time frame refers to the four hour’s time frame or above. It establishes a long term trend.
            Medium time frame: Although this time frame does not denote a specific time length anything below the three hours can be considered as a medium time frame.
            Short time frame: In this time frame orders are opened for a short time from several minutes to several days.

            Now it is completely up to the trader either he wants to use the Single time frame to analyze the market or incorporates all the three TIME-FRAMES. The choice of using the time frames varies from trader to trader. Experienced traders may be comfortable to trade for a long period. Beginners and day traders may be comfortable to trade in the short timeframes. And some traders maybe prefer to analyze the market through the lens of the multiple-time frames to reduce the risks of the loss.

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            • #7 Collapse

              TOP 8 REASONS WHY YOU SHOULD USE MULTI TIME FRAME ANALYSIS

              We have heard about this term many times before in forex trading circles and especially in this forum and I’m sure a lot of you already know what it means. Multi time frame analysis is so important and it determines whether you will make money in the long term or go in a circle without any meaningful account growth. In this article I will show you everything that you need to know, the major ones, so you will be able to fully harness the true power of your trading strategy.

              So what is multi time frame analysis?

              Multi time frame analysis means you are doing your analysis using several different time frames to form a solid understanding on where the market is going and where the price currently is in all of those phases. To put it in simple words, you want to enter the market when there is a strong trend on your back. We all want our entry to yield profit and avoid loss and this is why we need to make use of multi time frame analysis and here are other reasons why you should use it:

              Reason #1. To really have a clear grasp of where the market is heading you need to do something called “top down analysis” which simply means you need to see the market from the big time frame down to the small time frame for your entry. Ideally, you want to use at least 2 time frames to do this kind of analysis where the big time frame will act as the general trend and as a filter while the smaller time frame will act as the entry point. However, there are others who use 3 time frames for more detailed move of the market.

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              Reason #2. By using multiple time frames you will get better confirmation and lose less times. Why? Because when you are using multiple time frames to read the market condition you seek for conformity in all of those time frames. When you have 2 time frames and both of them show up trend then you will have a better chance of making money if you open a buy position. when you see the 2 TFs show downtrend you will have a better chance to profit if you open a sell position. If one time frame is down and the other is up then you will ignore any trade during that period. This will save you a lot of money.

              Reason #3. Bigger profit potential. When you are using several time frames you will have a better profit potential. Why? Because you are riding the trend on the bigger time frame. For example, if you are using 2 time frames such as D1 and H4 you are essentially riding the trend in D1 and because you enter from the small time frame you will be able to exit the market using the target in D1. If you use 3 time frames then you might be able to extract more profit from the market because your stop loss will be tiny and your target will be from the biggest time frame that you use.

              Reason #4. You get the best of both worlds. What do I mean? When you use multiple time frames you can scalp and you can also do longer term trading. Normally, you would have to choose between scalping and intra-day trading or medium term trading (or even longer term trading). However, you can actually scalp the market and/or switch to intra-day trading when the strong trend is backing you up. Switching TP like this can bring explosive profit in a short time when you know how to do it properly and this is the “secret” of highly profitable traders. The pros know when to follow the trend to get bigger profit and when to adjust their profit target based on the current market condition.

              Reason #5. More flexibility. When you use multi time frame analysis you have a choice to pick your entry point. What do I mean? Let’s say you use H1 as your trend base you choose to use M30 or M15 or M10 or even M5 for your entry point. This way you will be able to pick the time frame for entry points that suit your trading strategy. Of course, you should always research this stuff on your own to get the optimum result.

              Reason #6. Time frame divergence. The term divergence is often found when talking about indicator and price action. However, you can see divergence clearly when using multi time frame analysis and when this happens you can choose to sit this one out or take a risk and pick which time frame you will follow. Those who are comfortable taking risk will be ok taking trades during divergences while others are advised to just stay on the sideline waiting for when the trends in the TFs to move in the same direction again. It is important to know that although the trend will always start from the smaller time frame it’s the big time frame that has the bigger power to control the direction of the trend.

              Reason #7. Using multiple time frames will help you stay on your toes. Every trader has to be aware of their position in the grand scheme of things. This will help you to be prepared for the trend changes or any continuation that might be coming. The reason is because those who use multiple time frames understand full well that when their time frames are moving in different directions from one another they should not enter any trade and wait patiently with open mind on the outcome of this divergence.

              Reason #8. Multi time frame analysis promotes patience and discipline. In order to have a successful career in forex trading you need both patience and discipline. The market is merciless and it will punish those who are careless and we have more than enough examples of those who got burned in forex trading.
              You only need to read THIS ARTICLE to make money from forex trading,

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              • #8 Collapse

                Importance of multiple time frame analysis

                Multiple time frame utilization in the market is used systematically, traders and investors in the market exhibit various trading techniques, so this means that the duration of time frame used in their various chart may vary according to the strategy they adopted.

                As a trader, you need to have a strategy and your strategy should hand an identity, for instance, if your trading system works mainly with a 4hrs time frame and a 15-minute time frame, stick to it, avoid changing the time frame, this may attract avoidable loss.
                Meanwhile, if your trading method involves analyzing multiple time frames to get the best trading opportunity, then stick to it.

                The analysis of multiple time frames involves the process of monitoring the same currency pair across various time frames, which is also known as time compressions.

                The multiple time frame analysis can be used by different traders, be it the long term traders or short term or day traders.

                Some importance of using multiple time frame analysis.

                (1) Mtfa helps a trader to see the Acton of the price in a short term, medium-term and longterm. By switching between lower and higher time frames of the same currency pair.

                (2) Mtfa helps a trader spot the right price for entry in the market.,
                For instance for long-term traders, after spotting a trading opportunity, they could switch to a lower time frame for entry.

                (3) Mtfa help a trader to filter trades in the market, to make the right decision

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                • #9 Collapse

                  Multiple time frame analysis is really important in forex business.when we analysis the market of any pair then we need to get confirm signal to get good trade. to get this confirmation we need to use multi time frame. we know the market move with two trend. major trend and minor trend. if we see the longer time frame then we can get the major trend and when we see the minor trend then we can find lower time frame market movement. market always follow the major trend. when we try to open any trade then we try to find out best position. after seeing major trend we can realize the market trend and by seeing minor trend trader can join the market. in bellow i am mentioning the importance of multiple time frame analysis.

                  • when we use multiple time frame analysis then we can get trade confirmation from various angles and it make our trade more sharp and more strong.
                  • multiple time frame analysis give more accurate trade signal which is really needed to safe our balance.
                  • To open new trade good position is really important by seeing lower time frame we can take decision for opening our position.
                  • To take right decision of the market we need to analysis on longer time fame and also need lower time frame.

                  At last i want to say to make our trade more good and so much accurate we need to analysis the multiple time frame. who can manage it will he can get quick success and profit in forex.

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                  • #10 Collapse

                    IMPORTANCE OF MULTI TIMEFRAME ANALYSIS

                    A multi timeframe analysis in the forex market basically means that a forex trader would have to look into more than one time frame in other to make market analysis. This is one of the sound method through which a forex trader can perform valid market analysis and make sure to achieve confluence with trading. By looking into more than one timeframe during market analysis, traders will be able to make more informed trading decisions and would have a bigger and clearer picture of the movement of price in the market.


                    The most popular market analysis strategy being used with the multi timeframe analysis is the top down strategy. In the event where a trader makes use of this market analysis method, the trader would first of all pay attention to larger time frames and how prices have react before coming down to the smaller time frame to see if it obeys what the larger time frame reflects. Basically, the use of this type of market analysis is common with the technical analysts. The bigger time frames arw being used to know the direction of the general market trend and overall reaction of prices, and smaller time frames are used to secure sniper entries into the market. This way, the level of risk exposure would be reduced and a trader would be sure of entering into trades that really matters.


                    Multi timeframe analysis provides a forex trader with the luxury of seeing the market from multiple angles, leaving him to decide the direction which he best thinks is safe to trade from. For a trader that constantly makes use of this form of market analysis, he would soon discover the best timeframe which he is more comfortable with and this will improve the quality of his analysis.

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