Choosing a time frame to trade on depends a lot on your personality. An adrenaline hungry trader will likely seek shorter time frames and more action, while a calm-seeking trader will prefer longer time frames and sitting on a position for a longer period of time. What is your choice?
What time frames are better to trade on?
- Thread starter Rambo35
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Sitting on a position for a longer period of time requires good analysis and patience. This is something most traders lack. The use of long or shorter time frame depends on your available margin and preferences. I would advice longer time frames to get a detailed view of the market.
The use of time frame can have effect on your success as a trader. In forex I think it is recommended that newbies work with bigger time frames because they are still struggling with how to control emotions. The more smaller the time frame the less time you will have in making decisions while trading.
There is no need to complicate things once you understand the simplicity of an effective Forex trading system. Top Forex brokers will not care whether you trade on-trend or against it, since they don't bet against you, but you should. I trade 5-minute charts on the best Forex trading platform available today to a retail trader, and out of the enormous diversity of indicators, I only use simple moving averages. I use charting to spot ongoing trend and assess its strength. It gets easier on the eye with experience. I let the trend settle and pick up steam, and then enter a trade on a pullback. I get out when I feel that the trend is quieting down, and don't worry about not making that high. Stability is more important to me.
I perfectly agree with this : I mean it sums why I prefer longer time time frames
if you trade the longer time frame charts, it takes away the influence of news and the fundamental news releases because you generally have big stop loss you can absorb any movements that should occur in a higher impact news announcement if you’re trading on a longer time frame charts so all that leads to of course less stress, less emotions involved. Put the trade on, walk away from your computer, you have your stop loss in place; you have your profit target in place. You know the very worse you can do. You know that if the trade works on your favor this is what I’m going to make out of the trade, so a lot of reliability there
if you trade the longer time frame charts, it takes away the influence of news and the fundamental news releases because you generally have big stop loss you can absorb any movements that should occur in a higher impact news announcement if you’re trading on a longer time frame charts so all that leads to of course less stress, less emotions involved. Put the trade on, walk away from your computer, you have your stop loss in place; you have your profit target in place. You know the very worse you can do. You know that if the trade works on your favor this is what I’m going to make out of the trade, so a lot of reliability there
Actually time for trading in India to trade is from morning 11:00am to 8:00pm where in we have the maximum fluctuation in the major currency pairs. But to find the best time frame to trade is depends on your strategy but generally the longer the better.
Sorry. But. Why do you ask about prefer time frame. It is wrong to analyse market using one time frame.
I use H4 and D1 for determinate the main direction (stage of trend), determine support\resistance levels. And i use H1 and M30 for to spot the point of enter in the market, put sl and tp.
I use H4 and D1 for determinate the main direction (stage of trend), determine support\resistance levels. And i use H1 and M30 for to spot the point of enter in the market, put sl and tp.
Right. And on your chosen strategy ( scalping, hedging, long-term trading, intraday)
It also depends on how deep your pockets are - The bigger the TF the further away your SL needs to be.
I think also will depending with style trader to choose timeframe, almost scalping might they choose low timeframe like as 5 minute or 15 minute timeframe, but as intraday tarder might they can use higher timeframe 1 hour or 4 hour timeframe to analyze trend market, but swing trader might use weekly and daily timeframe also 1 hour timeframe
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