Hello, please, how can I identify the current trend in a long time frame, for example, the 1 hour chart?
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Hello, please, how can I identify the current trend in a long time frame, for example, the 1 hour chart?
You'll get a lot of answers, but first of all: zoom back on the chart.
As they tell you, start zooming out. Also, see if the price is setting higher peaks on an upward trend or lower minima on a bass player. By the way, our names are very similar peterFM... excuse me, I didn’t realize there was another Peter when I registered.
Don't apologize, as a name, it's not that weird, is it?
Ahhh... the two kind and helpful Peters...
I'm a rookie, so mine doesn't count much, but well, let's help you find the trend. The next step is to decide the context of your operation. If you only operate on the 1 hour chart without a major frame of reference, you may end up operating against most. That doesn't mean you can't win in 1 hour or even going against the dominant trend, but the risk is very different. For example, if you buy USDCAD without taking into account that the 1 hour trend can turn at any time, you increase your risk. If you wait for a sales opportunity aligned with the dominant trend, in theory you reduce the risk. But... each one has its own style.
You're too humble... by the way, I operate breakdowns of continuation patterns. If I don't find good configurations in larger temporalities, I'll go down the 1 hour chart to look for opportunities. Of course the benefit potential will be less...
Draw an arrow in the direction the price is moving... https://img211.imageshack.us/img211/2711/arrowyv9.png And ready. Game finished.
Very true :-
Sometimes I observe the slope inclination. If it changes, it means that it is accumulating or releasing pressure. If the slope is very steep without relevant news, I look for a setback. But if there is great news and the market is slow to react, I follow the news. Sometimes the news marks the turn of the trend.