95% WINRATE MULTITIMEFRAME CONFRIMATION ( GUARANTEED )

Summary

In this video, the concept of multi-time frame analysis is explained, showing how to use various time frames (monthly, weekly, daily, H4, H1) to identify strong trading zones. The strategy involves finding key support and resistance levels across multiple time frames, and then entering trades with confirmation on lower time frames like M15 or M5. The process includes identifying multi-time frame zones, looking for rejection and breakouts, and using these confirmations for low-risk entries. The lesson emphasizes understanding these zones and using them for profitable trades.

Takeaways

• 😀 Multi-time frame (MTF) analysis involves using various time frames such as Monthly, Weekly, Daily, H4, H1, and lower time frames (e.g., M30, M15) to identify key zones for trading.
• 😀 A multi-time frame zone is formed when the same support or resistance level appears across different time frames, indicating a stronger trading zone.
• 😀 Example: A bullish candle followed by a bearish candle on the Daily time frame can form a resistance, which can also be present on smaller time frames like H4.
• 😀 Identifying multi-time frame zones provides traders with stronger, high-probability zones to trade in.
• 😀 To enter a trade, go down to lower time frames like M30, M15, or M5 for confirmation before making a decision.
• 😀 Confirmation can be a price rejection at a key zone or a breakout of resistance/support on a smaller time frame, signaling a potential continuation.
• 😀 Example: If the price breaks resistance on the H4 and retraces, this provides an entry point when the breakout is confirmed on a lower time frame.
• 😀 A breakout on lower time frames, such as M15 or M5, followed by a pullback and continuation, can be a good entry setup.
• 😀 Key confirmations for low-risk entries include rejection of price from a higher time frame zone, breakout of last resistance/support, and the formation of new support/resistance on lower time frames.
• 😀 Multi-time frame analysis helps traders spot low-risk entry zones and identify potential trade setups based on price action and market structure.
• 😀 To summarize: identify multi-time frame zones on higher time frames, look for price rejection or breakout on lower time frames, and enter trades with proper confirmation.

Q & A

What is multi-time frame analysis in trading?

Multi-time frame analysis is a technique where traders use multiple time frames (e.g., Monthly, Weekly, Daily, H4, H1) to identify and confirm key resistance and support levels for stronger trading zones. It helps to verify the strength of a zone across different time frames, enhancing the accuracy of trade decisions.

How do you identify a multi-time frame zone?

A multi-time frame zone is identified when the same price level aligns across multiple time frames. For example, if resistance appears on both the Daily and H4 charts at the same price level, it forms a strong multi-time frame zone.

Why are multi-time frame zones considered strong trading zones?

Multi-time frame zones are stronger because they are validated by multiple time frames. The more time frames that show the same resistance or support level, the more significant the zone becomes, increasing the probability of successful trades.

How can you confirm an entry when you identify a multi-time frame zone?

To confirm an entry, move to a lower time frame (e.g., H4 to M30) and look for signals such as price rejection, breakout of resistance or support, or the formation of new support and resistance levels. These confirmations help verify that the market is likely to move in the expected direction.

What role does rejection play in confirming an entry?

Rejection plays a crucial role in confirming an entry. After the price touches a resistance or support level on a higher time frame, if the price rejects (reverses direction), it suggests that the zone is holding, and it may be a good time to enter the trade.

What is the importance of breakout in multi-time frame analysis?

A breakout is important because it signals that the price has moved past a key resistance or support level, indicating that the market may continue in the breakout direction. Breakouts confirm that the current trend is likely to continue.

What should you do after identifying a multi-time frame zone?

Once a multi-time frame zone is identified, mark it on your chart. Then, move to lower time frames to check for confirmation signals like rejections or breakouts before entering a trade. The goal is to ensure that the price is reacting as expected before making your entry.

Can you use multi-time frame analysis on shorter time frames like M5 or M15?

Yes, multi-time frame analysis can be used on shorter time frames such as M5 or M15. The principle remains the same: identify key levels on higher time frames (e.g., H1, H4), then move to lower time frames (e.g., M5, M15) to confirm with rejection or breakout signals.

What are the three key confirmations you should look for before entering a trade?

The three key confirmations to look for are: 1) Rejection at a key resistance or support level on a higher time frame, 2) The formation of new support and resistance on a lower time frame, and 3) A breakout of the last resistance or support level.

How can you use the M5 chart to refine your entry point?

On the M5 chart, look for precise details like breakouts or pullbacks from resistance or support levels. If a breakout occurs, wait for a pullback and then enter when the price continues in the breakout direction. This provides a low-risk entry with confirmation.