Where we get these numbers from? Do you look at just one time frame to make your trade decisions? How can one get insight about general trend of a stock? Are we in correction? Which cycle is the stock correcting?
Answering to all above questions needs multi time frame analysis. You can not be aware of whats going on in a market or stock without investigating different time frames.
Check out monthly time frame first to get insight about a trend of a stock. Do not make your decision just based on daily time frame. There are many examples which based on daily time frame you may think that trend is up but if you check out weekly or monthly time frame you find that it is just a correction.
Clear example of this concept can be seen on TSLA. If you see monthly time frame you will easily find that Tesla has completed 5 wave cycle and currently is making a big correction. TSLA completed its wave A of correction at around 0.382 retracement of mentioned cycle and end of wave C is around next retracement levels at 50 % or 0.618% which correspond to 470 and 370 USD respectively.
If you just use daily time frame you may make huge mistakes. You may not loose money by implementing some risk management strategies or sticking to your well placed stop loss but you will definitely loose energy for nothing.
As an example see people's published ideas on Apr 13th when TSLA just broke a minor static resistance at around 720. Most of people get excited and were strong bullish. They were just looking at daily time frame.
If you think that this is just an after the fact publication, I invite you to check out my related ideas especially that published on Apr 13th.
My Recommendation:
It is time to upgrade your trading view. Use multi time frame for your trades
Good luck every one.
Answering to all above questions needs multi time frame analysis. You can not be aware of whats going on in a market or stock without investigating different time frames.
Check out monthly time frame first to get insight about a trend of a stock. Do not make your decision just based on daily time frame. There are many examples which based on daily time frame you may think that trend is up but if you check out weekly or monthly time frame you find that it is just a correction.
Clear example of this concept can be seen on TSLA. If you see monthly time frame you will easily find that Tesla has completed 5 wave cycle and currently is making a big correction. TSLA completed its wave A of correction at around 0.382 retracement of mentioned cycle and end of wave C is around next retracement levels at 50 % or 0.618% which correspond to 470 and 370 USD respectively.
If you just use daily time frame you may make huge mistakes. You may not loose money by implementing some risk management strategies or sticking to your well placed stop loss but you will definitely loose energy for nothing.
As an example see people's published ideas on Apr 13th when TSLA just broke a minor static resistance at around 720. Most of people get excited and were strong bullish. They were just looking at daily time frame.
If you think that this is just an after the fact publication, I invite you to check out my related ideas especially that published on Apr 13th.
My Recommendation:
It is time to upgrade your trading view. Use multi time frame for your trades
Good luck every one.
Related Ideas
