Everything depends on what timeframe did you choose for trading as your work timeframe, you know. Some beginners pick M1-M5 as their work timeframe and they choose short-time trading. Guess that it's propriate to check a couple of timeframes which are a bit higher than you work one. For example if you choose for trading M1-M5 then you have to check at least H1-H4 or maybe even D1 in case you want to determine th trend line and foresee, for instance, trend reversal or something like that. Remember that which trend do you see on the H1-H4, then the same trend will be at your work timeframe. Keep going.
It depends on many factors including what trading strategy you tend to use and what is the current situation on the market. Anyway, personally, I prefer to look for the entry points in bigger timeframes, like if I trade on H1, I always look at H4 in order to make sure that I am doing everything right and look for the best moment to enter the deal. Bigger timeframe broadens my horizons of planning and sometimes and can even change my mind about the deal.
Great tip ForexWarrior202. But my own two cents, it all depends upon your strategy. The upper timeframes can definitely help you determine trend direction. However, the lower timeframe is where you truly find the entrance in my opinion.
I guess that it's not easy to determine the entry point according to the timeframe. The entry point dependson many factors and mostly on the current situation on the market. If the asset is volatile then it's worth not to trade on it at all, in case you chose a calm trading instead of risky trading. So, I think entry and exit points must be chosen only accroding to various several conditionds such as market situation, news, volatility and stuff like that. Some traders don't even bother about such details as they might think because they don't comply risk management practices. But, of course every trader must comply.
How to choose timeframe, usually depending with style trading that will be implemented, in my opinion, the intraday trader will prefer to look at least H1 and H4 to get bigger picture, and they can use lower timeframe like as M15 to looking for entries, meanwhile swing trader will like to choose daily and weekly, but also use H1 to looking entries, scalping almost them using low timeframe like as M15 or M5, M1, but M1 is not good because will often get false movement.
While studying how to use candlesticks with S&R 4 today, I wonder which timeframe it should be to determine an entry point? Let’s assume it might develop an inside down trend. Should I wait for 2-3 4H candles, or let it be 1H / 15M to help me out with entry point?
I am also having some difficulty charting S&R levels. If I draw them on Monthly timeframe for swing trades, I don't see them correctly on Weekly or Daily timeframes. They give me completely different trends.
I'll be glad if I could get some feedback on this.
You should look for entry points on lower timeframes because when you zoom in you can see pullbacks against direction you want to take which basically give you slightly better risk-reward and reduce potential holding time of your trades.
Actually, before opening a new deal, I would recommend you analysing several timeframes at a time. First is the one that you usually trade on, second is bigger than the firs (for example, if you usually trade on H1, the second timeframe would be H4 in order to see the situation more globally and see the exit points), the third is optional, it can be the smaller timeframe which you use in order to see the best entry point. That is how I do analyse the market and I believe such an approach gives more or less full picture of the current situation on the market.