What timeframe do you always look at when trading? That means. In the case of short-term charts, there are so many tricks that they often get caught and lose, but beginners tend to see them.
Traders don’t look short term
In general, traders check daily or weekly when checking the overall direction. If you look at this in a short-term time frame like 1 minute time frame, you will lose because it is full of fakes. Therefore, it is common to enter after confirming the overall direction. However, many traders tend to only look at 1-minute or 5-minute bars. Why is that so? This tends to happen to novice traders.
I want to increase trading opportunities
Beginner traders tend to look at 1-minute and 5-minute bars in order to increase their trading opportunities. The reason is that I want to increase the number of trades. For beginner traders, I think the number of trades = profit. But this is wrong. Because the more you do it, the more you lose. In the case of trading, a single trade often yields a month’s worth of profit. It is important not to get hung up on the number of trades.
the market is not moving
If you are a novice trader, you will feel bored if the market is not moving all the time. What I tend to do there is start looking at the chart on a 5-minute bar. And while watching the chart in real time, I feel like everything is a chance, and I start trading blindly, and I fall into a loop of losing.
can’t see the whole picture
If you only look at 1-minute or 5-minute bars, you will not be able to see the whole picture. Is the direction of the market gradually a range in the first place? up? Is it below? I don’t understand, and I gradually start to enter sloppily. It is better not to default to short-term charts.
The case for looking at short-term bars
The case of trading by looking at the short-term bar is basically limited to the following cases. In general, it is not recommended to look mainly at short-term bars. The reason is as explained above, because there is a trick.
scalping
Scalping is a trading method that settles within seconds after entry. In the case of scalping trades, trades are intentionally aimed at the time of economic indicators. When it comes to economic indicators, price movements are rough, so trade at the 1-minute level. And it is also a strategy to take profit and escape while there is unrealized profit, so you will see the chart on a 1-minute bar.
entry timing
Most of the cases where traders look at 1-minute and 5-minute bars are for entry timing. When I want to enter by buying, I am thinking about how to enter when the chart drops, and when I want to enter by selling, I am thinking about how to enter when the chart rises. Short-term legs are very effective when planning the timing.
What is a trade without looking at short-term bars
Trades that do not look at short-term bars are generally day trades and swing trades. It is common to look at the 1-hour to 4-hour timeframe and look at the whole picture while competing. Therefore, when looking at the short-term bar, it is only when measuring the timing of entry as explained above. In addition, the long-term leg has fewer fakes. Since the degree of difficulty is getting lower, everyone looks at the long-term foot as the main. Except for special trades, there is no merit in fighting with short-term main.
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