Thread: Do you Believe in 4 hr/Daily bars?

During some recent gambling refection I found myself doubting the presence of 4 hr bars and daily bars. All of us use gap brokers and reside in different time zones and we all trade forex, BUT it would seem there is rarely a agreed upon period of day when 4hr or Daily bars begin/end.

Different times of the day have different meanings to each trader and each trader views his own point of view as the main. So who's to say some other trader is incorrect in valuing a certain time of day. Circular I understand.

Here's my point.

Is not the 1 hr pub the most essential pub? It seems to be the longest TF that everybody sees exactly the same (Depending on the brokers prices).

Personally, I prefer longer TFs, but today I just zoom out on the 1 hr TF to see what is going on.

Originally Posted by ;

Is not the 1 hr bar the most essential bar? .

Wellit somewhat depends. Unless there's any kind of an advantage gained by seeing what others view... then, I guess?

Originally Posted by ;

It seems to be the longest TF that everyone sees the exact same on.

Well, not really. The differences on a monthly and weekly graph will likely be extremely minimal? EDIT: But these are high!

I am assuming that you trade off of price action? As such, I really do see the logic of using 1 hr charts over 4hr charts or daily. Then again, one has to wonder, does seeing the graph the same mean anything, or else is trading price action really just 1 trader figuring out things about how to rather than when to?

I do actually trade off of PA, but select certain things in time and straddle. I don't speculate which direction anything will head. I'm usually dead wrong. My edued guesses appears to be reversed by the Currency Market monster.

Well explained concerning the weekly and monthly TFs though. They would in reality be pubs that nearly all would see the exact same.

But now I only zoom out to the 1 hr TF to check out what is really going on

This component pretty much summarizes what is really important about price action on any chart in almost any time-frame. The start and end of Daily and 4Hr candles do not influence what the price action is telling you.

Once the market fails to break a support/resistance area of any kind (whether it is a large round number that's historically held strong such as the 1.3000 zone on USD/CAD or a diagonal trend line that's held for the last couple of weeks ) it is all the exact same picture whatever hour your daily/4Hr candles start and end.

The time zone may make the difference between seeing a pin bar/shooting superstar pattern or a railway tracks pattern on the daily, but those patterns mean exactly the same thing: the market failed to break the S/R zone.

Daily/4Hr bars are only compressed versions of the exact same information you're seeing when you zoom out of a 1Hr chart. Sometimes, the minute details simply are not required to get a transaction decision so it is possible to use one or more one of these charts (Daily, 4Hr or some zoomed-out 1Hr) since they would all confirm the exact same thing: either the price area broke or it didn't.

For longer term trades, I only search for areas in which it is safe to place a stop outside of an unbroken zone (support/resistance) with a little extra buffer room in the event of news spikes. I only accept trades where the target can realistically be achievable and can be at least the size of (rather larger than) the stated stop. By realistically viable, I mean there isn't a major barrier on the way there (unbroken trendline or area at which the market repeatedly stopped and reversed when it had been reached in the past).

None of those standards would change regardless of what time zone your 4Hr and Daily candles start and end; either price has bounced off a flat or it didn't.

If your trading method actually depends on a pattern that actually tells you something completely different simply because the time-zone is different for 4Hr/Daily, then there is an indication you may want to reassess your method.

A broken level is a broken level, and a dip is a dip, at any time zone.

The things that thing wont change from broker to broker mate.

One person may be visiting a 4hr Pin Bar, another may be visiting a Bearish Outdoor Bar, or even a Dual Bar Pin. Either way, price action will reflect the same market behaviour at exactly the levels of service and resistance. The difference is the title you employ to the reversal/continuation pattern.

So dont worry if a guy gets a MEAN Pin bar, and your obtaining a tweezer top (double bar pin) or even an interior bar thats broken down after a lengthy ranging bullish bar... the point is price was rejected from the same level, within the same time period, over exactly the same range.

Cheers,
MM

... and that's if you're using pivots or range/session established indior which is reliant on daily candle times. Having done some extensive research into pivots for a method I was attempting to grow, pivots are subjective should you use them with 4 hour and daily candles, which as you rightly pointed out, are subjective into timezone and broker cancel.

I sometimes still use pivots to test for convergence in my fibs and SR lines when I'm unsure. It's been my experience that if you do use pivots, to use a pivot indior that you may offset your broker time from 00:00 EST.. Either way or to recalculate your indiors utilizing 1 hour candles.

I know where you are in your learning-curve since I recall asking myself the exact same question.

I'd major problems accepting one bar-formation on daily charts since it could depend on different feed along with the brokers end-season moment. But thats a personal belief.

I'm happy to have moved from egies depending on single TF's and the only time I have to be worried about today is currently season, nothing more, making way more sense for me .

Originally Posted by ;

I'd major issues accepting a single bar-formation even on daily charts since it could depend on various feed...

Agreed.

Originally Posted by ;

... the sole time I have to worry about today is currently season, nothing more, which make far more sense to me .

Please define season... do you imply seasons of the year, fiscal end of year, or something else entirely?

Originally Posted by ;

I know where you're in your own learning-curve because I remember asking myself the same question a while ago.

I had major issues accepting a single bar-formation even on daily charts because it could depend on different feed and the brokers end-season moment. But thats a personal belief.

I'm happy to have moved away from egies depending on single TF's and also the sole time I have to worry about now is currently season, nothing more, which make far more sense to me at least.

Well frankly I'm not worried about the daily or 4 hr TFs. It was only an observation. I exchange on a TF. I find that any system based on a TF than daily means lots of screentime. I'm not even a kinda man. I've logged more hours than I care to admit, but I appreciate everyone's view and point of view.

Originally Posted by ;

During some recent gambling refection I found myself questioning the presence of 4 hr bars and daily bars....

You have a point which I agree because D1/H4's fractals are distinct among brokers. To over come it, I will zoom into H1 to fine tune the exact stage to draw trendline before any trade taken place to increase entry precision. Unless it gets near the trendline I will see most of the time to H4. Hope that you find it helpful, feel free to chip in different opinions/methods.