I wonder if I'm just getting too damned old for 1 minute charts...

[expiated]

Even as I type this, I am beginning to realize more and more what a ridiculous idea that is, especially since the proof has been in the pudding lately as I am trying to completely get rid of one minute charts on my screens, and have been basing almost everything on simple 5 minute charts.

Last night I translated my latest one-minute setup to a five-minute context, and when I opened my charts this morning, was profoundly struck by the clarity I felt I was viewing (not pictured).



Scripture warns against making the mistake of thinking “my power and the might of my hand have gotten me this wealth,” so as I make plans to use whatever insights I’ve gained in the last six months to once again begin trading a live account, I am cognizant of the wisdom of not being too impressed with myself, and I also recognize that whenever I suspected I had arrived at a final configuration in the past, my suspicion turned out of be false.

Nonetheless, what I saw this morning convinced me that it is impossible—for me at least—to trade with maximum precision using anything greater than a five-minute chart.

I think I’ve written in the past that I conceive of the way I arrived at my approach to trading as tantamount to running thousands of computer models to compare how closely each of a wide variety of moving averages came to reflecting price’s ultimate destination—singling out the one best moving average for correctly discerning where price is going with respect to a specified time frame...and there’s just no two ways about it! If I want to see where price is initiating a short-term reversal, I need to be looking at a five-minute chart at the most.

I'm hoping that doing so while simultaneously noting the longer-term trends will allow me to set relatively tight stops, and in turn, improve my thus far feeble reward-to-risk ratios.

 

[TDMA]

My primary tools for looking for manual/semi-auto stock trades have always consisted of 3 linked charts. A 1 minute, a 5 minute, and a daily. Sometimes I'll punch a 15 minute in there for a longer perspective, but not very often. And then I would/will often use the one minute chart for entry, and then use a combo of the 1 and five to get me out.

I think I have always thought there was some type of advantage to using such a short time frame. Those possible "advantages" being a perceived notion of tighter risk control, in addition to seeing many more trades on a 1 minute chart. I am somewhat of a believer in fractals, and I subsequently believe certain behavior occurs across all time frames, so I always thought a one minute chart would mean "more is better".

Even as I type this, I am beginning to realize more and more what a ridiculous idea that is, especially since the proof has been in the pudding lately as I am trying to completely get rid of one minute charts on my screens, and have been basing almost everything on simple 5 minute charts. Hell, I even used a 30 minute chart to help me let my profits run the other day. Not only because I am developing more patience as i get older (45 in July), but the risk/ reward is better, the slippage isn't as important, and although my commissions are already negligible, they matter less and less now.

But the point of the thread is thus: Following 1 minute charts, and all of the 1 minute alerts my scanner picks up is just getting to be too f...ing exhausting. By lengthening my time frame, it just seems more relaxing. Not only because of the advantages listed above, but because of not being driven insane by the perception of so many missed opportunities, especially early in the day when alerts and patterns and such are flying at you at light speed.

Many years ago, late 90's I think, I paid Mark Douglas to talk to me on the phone for an hour, and he basically talked about what is in his books. But one thing I specifically remember is him asking me what time frames I look at. I told him I primarily looked at 1 minute entries. He asked if I was insane, and I remember responding, "probably". Then he went on a rant as to how one minute charts are just noise, and how I am shooting myself in the foot by using them. I guess I had to learn that one the hard way over time.

Well this is way longer than I thought it would be, but I guess it's my way of standing up in a large room and saying, "Hi, my name is jnbadger, and I am a one minute chartaholic. In 24 hours, I will have been looking at time frames of no less than 5 minutes for one day."

(Please keep in mind, I trade the crazy movers during the day. When I put on the occasional index trade, it is based on a 15 minute chart, so this rant does not apply to the /ES, SPY, or any other type of index trading.)

Thank you for your time.

It's all about probability, on 1minute our algos find one trade per week, but it takes minimum 50-100 bars to setup hence the single trade. On 1sscond bars they find around one per day, the longer it takes to setup the more reliable the move.

The reason you will find it tiring is your brain is trying to pattern analyse low probability setups, and that's stressful. Using the same setup you will need to move to hourly or above, or you need to widen your pattern, there is very litlle in between.

 

[murray t turtle]

It's all about probability, on 1minute our algos find one trade per week, but it takes minimum 50-100 bars to setup hence the single trade. On 1sscond bars they find around one per day, the longer it takes to setup the more reliable the move.

The reason you will find it tiring is your brain is trying to pattern analyse low probability setups, and that's stressful. Using the same setup you will need to move to hourly or above, or you need to widen your pattern, there is very litlle in between.

%%
Another reason; some noise is not fun. Market makers do well but on much smaller time frames than 1 min. Like Monthly candle chart$ myself, good trends........