1:4:6 Rule in Trading

Multiple Time Frame?!!!

Which one to use?
Know the 1:4 - 1:6 Ratio Rule

Sample:
If you are planing to trade in a specific time frame, you need first to know what is the current trend. For 1 hour TF, you may use either 4H and 6H to see and check the trend. But if you want to see the overall, daily chart is still the best especially for cryptocurrencies. Then go back to you 1 hour TF and see if there's any opportunity base on other indicators and candles/chart reading. Then you can go down 4 times below from 1 hour which in this case is 15mins, just for you to validate the possible price action. Don't forget the volume plays a very important role.

NOTE: This doesn't put us in a box instead it helps focus on a particular TF we are targeting, we can even go as lower as we want too, keep also in mind checking the "Order Book" for the actual price action.

For more detailed explanations and illustration you can check these links below.

1. https://www.babypips.com/learn/forex/time-frame-mashup

2. https://steemit.com/pilipinas/@henrymac/time-frame-trading-know-what-kind-of-trader-are-you

3. https://steemit.com/bitcoin/@henrymac/moving-average-filipino-tagalog-sma-vs-ema

#HealthyMinds #NotAProTrader #NotYourFinancialAdviser
Feel free to upvote and follow us Filipino bros and sisters. Let's join forces, challenge each TA and build a healthy and stronger community.

Telegram for Updates: https://t.me/joinchat/GYDm4Awz-V3eSelJ9amAFw