In previous charts I've shown 4 hour timescale support/resistance and Fibonnaci retracement levels. These provide me the "big picture" trends and levels.
In uncertain times, I'm less likely to hold a position even overnight. I trade at significantly shorter timescales, scalps if you will.
So, with the 4 hour trends and fib retracements still in place, let's apply more granular indicators.
Focusing in on the lower 4 hour fib range of 0.236 to 0 ($9182 to $5873), which we are currently in, provides our focus. Within that range, I took a recent significant low and high and drew another set of Fibonnaci retracements. I choose not to draw sub-fibs based on the entire 4 hour fib range, but use a swing within the range. I did this due to the presence of the 4 hour support line adding influence to keep within the top end of the range and outer fib retracements are not the best for this technique, but anyway.
OK, so now we have some 15 min retracement levels. I use these as more of a guide and less absolute than my 4 hr retracements. Smaller time scales tend to have more noise and overshoots. You'll see retracements levels hit and also quite a few mid-level hits as well. But, still, knowing that, quite useful information.
You may also be surprised to see when zooming down to 5 min it's still somewhat relevant.
Note: When I publish these charts, I hide/remove some other indicators I have normally displayed so you can see more detail on the levels. I normally have at least Volume, MACD and RSI also display to help confirm any trends.
In uncertain times, I'm less likely to hold a position even overnight. I trade at significantly shorter timescales, scalps if you will.
So, with the 4 hour trends and fib retracements still in place, let's apply more granular indicators.
Focusing in on the lower 4 hour fib range of 0.236 to 0 ($9182 to $5873), which we are currently in, provides our focus. Within that range, I took a recent significant low and high and drew another set of Fibonnaci retracements. I choose not to draw sub-fibs based on the entire 4 hour fib range, but use a swing within the range. I did this due to the presence of the 4 hour support line adding influence to keep within the top end of the range and outer fib retracements are not the best for this technique, but anyway.
OK, so now we have some 15 min retracement levels. I use these as more of a guide and less absolute than my 4 hr retracements. Smaller time scales tend to have more noise and overshoots. You'll see retracements levels hit and also quite a few mid-level hits as well. But, still, knowing that, quite useful information.
You may also be surprised to see when zooming down to 5 min it's still somewhat relevant.
Note: When I publish these charts, I hide/remove some other indicators I have normally displayed so you can see more detail on the levels. I normally have at least Volume, MACD and RSI also display to help confirm any trends.