How to Perform Multiple Time Frame Analysis (Part 5)
As it turns out, the uptrend continues, and EUR/USD
continues to rise up the charts.
Cinderella would have entered just above 1.2800 and if she
had kept the trade open for a couple of weeks, she would have made 400 pips!
She could have bought another pair of glass slippers!
There is obviously a limit to how many time frames you can
study. You don’t want a screen full of charts telling you different things.
Use at least two, but not more than three time frames
because adding more will just confuse the geewillikers out of you and you’ll
suffer from analysis paralysis, then proceed to go crazy.
Is there a wrong way to do multiple time frame analysis, you
ask? Some of our forex friends have been nice enough to give their two cents on
this matter through this forum thread on multiple time frame analysis. At the
end of the day, it really is all about finding what works best for you.
