TIMEFRAME RULES

If you struggle to decide which timeframes to use, you need to decide what time of trader you want to be.

Use the rule of 3 to decide which time frame you are going to use.

These time frame rules are only for those who use confirmation entry.

Rule of 3: Your entry time frame - 3, skip one and use the remaining two.

As listed

SWING:

MONTHLY POI = 4h or daily for entry
WEEKLY POI = 1 hour or 4 hour for entry
Daily = 1h or 30m for entry

INTRADAY:

4 HOUR POI = 30m or 15m for entry
1 HOUR POI = 15m or 5m or 1m for entry

Scalping:
15M POI = 5m 1m or 30s for entry

Remember the 2 rules!

When determining if price is bullish or bearish, you need two things!

1. Impulse - An impulse which breaks a structural point

2. Successful retrace - The retrace which break the structure the impulse
created

These Two rules will determine your trend on any time frame you are using.

So identify what trend you are in on the higher time frames to identify your overall Bias and trend.

Step 2: Identify your POI

Point of interest being our Order block.

More importantly identify the order block on the higher time frame. This is the only area you are looking to enter
from to follow trend.

If you are comfortable it is the same process for counter trend lower time frame moves.

Once you identify your OB, highlight and set an Alert at the Open of the OB.
Go through multi time frames and gain and understanding of OBs which are CLEAR that need to be mitigated.
The reason we do this, so we have a rough idea where we should expect price to react from before following our high time frame bias.

Now, if you are to follow a risk entry method, this OB
refinement is crucial as you would be setting a limit order off the refined OB
within your higher time frame OB.

For example, within a daily OB you may find a very clear 5min time frame OB, so you may expect price to mitigate this order block before reacting.

If you chose a risk entry method, this would be your entry candle.

Make sure you understand OBs and why they exist. You have to remember
order blocks are footprints left behind from institutions. They drive price in
one direction before their desired move, but to drive price to grab liquidity, they need to sacrifice a position, for this reason they dont use Stop losses.

So although price has a strong reaction, price returns to the order blocks so that
institutions can mitigate their losses. Without understanding this, you will
not understand the background behind this strategy and also will not have a clear understanding of your trading.

When identifying Order blocks, you want to find clear Order blocks.
By clear, I mean, no wicks tickling into it. We want a clear OB and Inefficiency /
Imbalance.

This signifies a strong OB

Imbalance is key, remember markets always have an equilibrium, 50% buying and 50% selling.
When a trader wins another trader loses. That is all
part of it.
However, when there is a 100% of either buying or selling, this is
forced by institutions. Us retail traders cannot produce that move. This
indicates to us that the Institutions are active at this OB.

If there is ever an OB that you doubt, then it's not a clear OB.

If it were a clear OB, you would never question it.
Once you identify your OB, set and alert and sit on your hands.

Step 3
The entry

ENTRY:
Now time to look to enter the trade.

Once price is there, go to a lower time frame of your choice, there is not set
time frame, no set rule about this, can use 1min, 5min or even 8min.
Whatever time frame suits your fancy it is down to you

However, the main thing we look for is a Break of structure (BOS).
A good BOS is key. Now a BOS can be seen differently by many.
Some use wicks as break of structure,but that doesn't apply to my strategy.
I always wait for the first high to be taken out by a whole candle body before I can Mark it as a BOS

Once you have identified a clear BOS, you need to locate your LTF OB.
Again, you want the same as before. You want a clear OB, emphasis on the word clear.

An OB with inefficiency. This is where you will look to enter your trade

So you've done all that and now at the point where you have found your LTF OB which is very clear

However, if you chose a
risk entry method, the rules are the same.

However, risk entries only worth doing if momentum is in your favour.

There are a few ways you can enter,

You can set a limit order at the:
OPEN of the OB
50% of the OB

All placed with stop loss above the OB including spread if you are selling or
stop loss below the OB if you are Buying also including spread.
If you trade major pairs, such as EURUSD spread shouldn't be an issue

The Open of the OB being the highest probability of trigger with the wick

Note, I said triggering, not
probability of the trade winning, as that probability is the same regardless