Time Frame Control

[MrPaul 10]

In "Trading Rules That Work" Jason Jankovsky explains his point on time frame control...

 

"Different time frames are competing, and the intention of one time frame is not always the intention of another. Your best trades occur when your own time frame is the same as the time frame currently in control of the market at that point. When that changes, your trade is over.".... pg 27

 

I agree with this observation. If you do as well, how do you take advantage and to what degree? I utilize 3 screens which display 3,5,10,15,30 and 60 minute charts to gain a wide perspective on a certain product.

 

How is your "workspace" organized?

[waveslider 10]

Hey Mr. Paul. This is a really great question, since proper use of multiple time frames is the way to turn a winner into a windfall. Mult. time frame trade management is most appropriate for slightly longer term players (not intraday scalpers).

 

Personally - for my short term (1-5 day) trades, I look for daily signals, then use price action at the open and close of the day for entries and exits. The day after entry I use 15 min. charts to identify locations to hedge a portion of my position. When the daily chart tells me to exit, then I close the position and the hedge.