Friends often ask me: How should I read K-line charts without getting confused? 🤔
My method is very simple, just three steps: look at the direction, find the position, wait for the opportunity.
$ETH
Step 1: 4-hour chart, look at the direction
This timeframe can filter out a lot of market noise. If the highs and lows are continuously rising, it indicates an upward trend, and during pullbacks, look for opportunities; if continuously falling, it indicates a downward trend, and be cautious during rebounds. First, clarify the overall direction to have a solid foundation for your actions.
Step 2: 1-hour chart, find the position$BTC
Once the trend is determined, check where the price is heading. If it approaches the support line, moving averages, or previous lows, it can be monitored; if it's close to previous highs or significant resistance, consider reducing positions. This addresses the question of "where to act".
Step 3: 15-minute chart, wait for signals
This is the specific entry point. Wait for the price to reach key levels, then observe if there are any reversal patterns, divergences, or indicator resonances. Ideally, breakouts should be accompanied by trading volume; otherwise, they may be false signals.
In summary, it can be boiled down to three sentences: $SUI
4-hour sets the direction (long or short)
1-hour sets the position (where to act)
15-minute sets the timing (when to act)
If several timeframe signals are contradictory, the best action is to do nothing and wait with a flat position. Trading is not about who acts faster but about who has more patience and can better adhere to clear rules @Square-Creator-e7fd332b19daf
My method is very simple, just three steps: look at the direction, find the position, wait for the opportunity.
$ETH
Step 1: 4-hour chart, look at the direction
This timeframe can filter out a lot of market noise. If the highs and lows are continuously rising, it indicates an upward trend, and during pullbacks, look for opportunities; if continuously falling, it indicates a downward trend, and be cautious during rebounds. First, clarify the overall direction to have a solid foundation for your actions.
Step 2: 1-hour chart, find the position$BTC
Once the trend is determined, check where the price is heading. If it approaches the support line, moving averages, or previous lows, it can be monitored; if it's close to previous highs or significant resistance, consider reducing positions. This addresses the question of "where to act".
Step 3: 15-minute chart, wait for signals
This is the specific entry point. Wait for the price to reach key levels, then observe if there are any reversal patterns, divergences, or indicator resonances. Ideally, breakouts should be accompanied by trading volume; otherwise, they may be false signals.
In summary, it can be boiled down to three sentences: $SUI
4-hour sets the direction (long or short)
1-hour sets the position (where to act)
15-minute sets the timing (when to act)
If several timeframe signals are contradictory, the best action is to do nothing and wait with a flat position. Trading is not about who acts faster but about who has more patience and can better adhere to clear rules @Square-Creator-e7fd332b19daf
