Presents

Multi-Time Frame Magic

With

Dean Storholt

I am not a registered broker-dealer or investment adviser. I will mention that I consider certain securities or positions to be good candidates for the types of strategies we are discussing or illustrating. Because I consider the securities or positions appropriate to the discussion or for illustration purposes does not mean that I am telling you to trade the strategies or securities. Keep in mind that we are not providing you with recommendations or personalized advice about your trading activities. The information we are providing is not tailored to any particular individual. Any mention of a particular security is not a recommendation to buy, sell, or hold that or any other security or a suggestion that it is suitable for any specific person. Keep in mind that all trading involves a risk of loss, and this will always be the situation, regardless of whether we are discussing strategies that are intended to limit risk.

I am not subject to trading restrictions. Myself and other instructors could have a position in a security or initiate a position in a security at any time.

Stacking Indicators

Start by stacking indicators on the daily chartLike to have at least 4

Then move to the five minute chart and continue stacking

Can even continue stacking on the one minute chart

The magic chart can often provide additional confirmation

Stacking IndicatorsWe often go to the one minute chart to better time our entries and exits.

Can we take this a step further?

Use additional timeframes to strengthen our entries/exits or perhaps use them to keep us out of a trade.

What do I mean, keep us out?

How about stacking charts?

The faster time frame chart can indicate what is coming on the other charts

Tweezer bottom at bottom band on 1 min can indicate direction change on 5 minute

See saw on the 1 min can indicate that the move will continue on the 5 minute

Stacking

This works all the way up thru 1, 5, 15, and daily

A tweezer at a band on the 5 min can indicate a reversal on the 15 min

A break inside the band on the 15 minute can indicate a direction change, with a move to the opposite band. This is true even when the faster charts disagree

Stacking

15 Minute chart 5 Minute chart

Outside 2-6

When you get this “conflicting” data, watch for the faster chart to retrace to a moving average or resistance, and then continue the move indicated by the longer chart

The 15 minute chart may over ride the faster charts

The longer the time frame, the stronger the data

Stacking

Theory of Threes

Daily chartAnticipated move – how long?

3-5 days

15 Minute chartAnticipated move – how long?

3-5 candles45 minutes – 75 minutes

Theory of Threes

Five minute chartAnticipated move – how long?

15-25 minutes

1 Minute chartAnticipated move – how long?

3-5 candles3 minutes – 5 minutes

Theory of Threes

Daily chart 3-5 DAYS

Fifteen minute chart 45-75 minutes

Five minute chart 15-25 minutes

1 Minute chart 3 – 5 minutes

Which is stronger?

How does this help us as traders?

Stacking Charts

Where do we start?Daily chartUnless –

When do we use the 15 minute chart?

When do we use the 5 minute chart?

When do we use the 1 minute chart?

How about using them all together?

If the daily chart gives us a direction, then we start looking for our entry on the 5 min and 1 min chart

The 15 minute chart can be used to confirm/deny the move for an additional 20-50 minutes

The 15 minute chart provides additional confirmation of the length of the move

Stacking Charts

Remember:

Avoid Calls at the top band

Avoid Puts at the bottom band

Exceptions?

Stacking Charts

Look for the “outside band to inside band” move

Be mindful of the band angleAt support?

Steep band angle means what?

With steep bands, what are we looking for?Bollinger band bottom

Hook can confirm the move will continue

Stacking Charts

July 9th

Charts !!!