Applies to trading as well

Multiple Time Frames=

Bigger Picture

Dr. Alexander Elder

Our setup chart

http://www.netpicks.com/drawing-trend-lines/

Context

What we don't know is where we find ourselves in terms of the higher

time frame.

In this case, we want to zoom out to the weekly

chart.

Weekly demand line much lower

Downside resumptionWeekly chart down

Room to run

Protective stop placement

4 hour chart

Lower than that can lead to a lot of “random” action

Pivot

Legitimate test

Failure test

Breakouts can be an entry in the context of higher time frame pattern

Can you make a case for the trade?YES

Conservative entry

Setup chartTrend plus structure

Trade entry

Merge into your current trading system/method

www.netpicks.com