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Set up the trade, identifying structural, sector-based, or rotational opportunities.
Usually the Daily or Weekly chart, this determines the "big picture" direction.
By analyzing the markets across multiple time frames, John was able to gain a more comprehensive understanding of the trend and make a more informed trading decision. He decided to buy the S&P 500 index, with a stop loss below the recent swing low and a target above the recent swing high.
The AVWAP reveals the average price paid for an asset since that specific event. If the price is above the AVWAP anchored to a major low, buyers from that event are in net profit and will likely defend that level as support. Step-by-Step Blueprint for a Multi-Timeframe Trade
Shannon categorizes all market action into four distinct stages. Recognizing these stages across different time frames allows traders to anticipate where the big money is moving.
Shannon’s greatest contribution is shifting the trader’s focus from "What will the price do next?" to "Where am I wrong?" By layering the weekly, daily, and hourly charts, you remove emotional FOMO (Fear Of Missing Out). You trade only when the tide, the waves, and the ripples move in unison.
Shannon's methodology relies heavily on specific moving averages to define the health of these stages across different timeframes. 1. Moving Average Alignment
Churning, wide sideways ranges with high volatility.
The highest-probability trades occur when the trends of all three time frames align. If the long-term chart is bullish, the intermediate chart shows a breakout from a continuation pattern, and the short-term chart signals an intraday entry, the trade has a statistically higher chance of success. The Law of Market Physics
Set up the trade, identifying structural, sector-based, or rotational opportunities.
Usually the Daily or Weekly chart, this determines the "big picture" direction.
By analyzing the markets across multiple time frames, John was able to gain a more comprehensive understanding of the trend and make a more informed trading decision. He decided to buy the S&P 500 index, with a stop loss below the recent swing low and a target above the recent swing high. Set up the trade, identifying structural, sector-based, or
The AVWAP reveals the average price paid for an asset since that specific event. If the price is above the AVWAP anchored to a major low, buyers from that event are in net profit and will likely defend that level as support. Step-by-Step Blueprint for a Multi-Timeframe Trade
Shannon categorizes all market action into four distinct stages. Recognizing these stages across different time frames allows traders to anticipate where the big money is moving. He decided to buy the S&P 500 index,
Shannon’s greatest contribution is shifting the trader’s focus from "What will the price do next?" to "Where am I wrong?" By layering the weekly, daily, and hourly charts, you remove emotional FOMO (Fear Of Missing Out). You trade only when the tide, the waves, and the ripples move in unison.
Shannon's methodology relies heavily on specific moving averages to define the health of these stages across different timeframes. 1. Moving Average Alignment The Law of Market Physics
Churning, wide sideways ranges with high volatility.
The highest-probability trades occur when the trends of all three time frames align. If the long-term chart is bullish, the intermediate chart shows a breakout from a continuation pattern, and the short-term chart signals an intraday entry, the trade has a statistically higher chance of success. The Law of Market Physics
