Multiple Timeframes

[slavduja]

Quote from Eight:

A man with two watches will never be sure what the time is..

True. unless each watch had one handle.
One watch showing the hour, another minute and another second, combined you have increased your precision of timing.

 

[athlonmank8]

Quote from Eight:

A man with two watches will never be sure what the time is..

That's the dumbest thing i've ever read and has nothing to do with trading.

 

[ammo]

wallace, have you studied using the 7-10 est timeframe as 1 timeframe and the rest of the day as another

 

[Jaba]

Quote from Redneck:

......MTF benefit will become evident once you can reference a smaller time frame… and visualize what the higher time frame candle is going to look like while it is forming

That skill is money


RN

I agree 100% with that.

J

 

[Wallace]

hi ammo: no
if you're referencing your question to 'best trading hours', while the majority of the
trading volume occurs during those hours, I don't associate end/start of trends or
large price moves with those hours or the volume

attached displays green v line between 6-7am est, red v line between 10-11am est
on 60 min eurusd chart, similar can be found for es

 

[ammo]

i was hoping you would figure a way to tweek and look at it.i am one of the guys who couldn't set up the vcr

 

[Wallace]

you're not alone there, me, it's trying to set the correct time on my cell phone

re trading profitability, 2 accounts: intraday/scalp but Day-to-Days trade particularly
with fx as there's no increase in margin for o/n trades

 

[ammo]

rarely daytrade,when i do ,the rust shows,just trade the s/r #s and hang on for the ride trying not to close position's early

 

[ElecEquity]

Quote from slavduja:

I want to know if some intelligent folks on this forum can help me determine the best way to rank time frames.

There has been a lot of buzz nowdays about mutliple time frames trading. Normally you hear traders say I use a Entry Time frame, Intermediate and Longer time frame to gage my entries and exits etc.
Thats fine but its not clearly state why they use 3 and not 5? Why do they use 4min on entry and daily on long term??

How does one design a metric to rank the time frames ?
How do you know if you you should have time frames be in multiples of 2,3,4,5,6....n?
Do you calculate the correlation between the time series and trade ones that are least correlated??Logically the correlation would increase as the difference in time interval decreases. 1 min tim series price chart would be more correlated to 2min than 30 min.

To conclude say I wanted to use a SMA cross strategy on multiple times frames. Executing it on each time frame exclusively without referencing to others.Which would mean If i am long in on time frame X I may be short on time frame Y. How do I select the # of time frames? And why?

I want to see if others have looked into this. Prof Logic said he uses constant bars and he uses squares. Something like 7^7.. So each time frame is 7 times greater. I want to know why??How does he come to this specific calculation and on what doe she rate it on?


Thanks

Slav

I recommend that you read: Technical Analysis -- Using Multiple Timeframes by Brian Shannon....it's really expensive however...I photocopied the entire book from a friend of mine that purchased it. I found it to be very helpful.

 

[Gcapman]

Quote from ammo:

i was hoping you would figure a way to tweek and look at it.i am one of the guys who couldn't set up the vcr

LoL

I still have problems loading up my brand-spanking new 8-Track