Why The Longer Time Frame Charts Can Help Your Trading
In this weekly video:
00:38 – Being able to trade and travel
01:05 – Interview with a Full Time Forex Trader
01:43 – Trading the Longer Time Frame Charts
02:22 – Trade in a way that allows longevity
04:18 – Do the professionals trade 5 minute charts
04:45 – Celebrating 9 years of The Forex Trading Coach helping traders
06:12 – Now it’s your turn to join us
I'm going to explain to you why I love trading the longer timeframe charts and how they could help you in so many ways. Let's get into that right now.
Hi, Forex traders. Andrew Mitchem here, The Forex Trading Coach video and podcast number 270 coming to you from beautiful Queenstown in the South Island of New Zealand. School holidays here in New Zealand and we're at our holiday home here in Queenstown having a great time.
Being able to trade and travel
Just got me thinking about so many things to do with trading because part of trading is being able to travel. It's being able to not be glued to your computer. It's being able to do things like this, come to places like this and still continue to trade. I love trading. I don't want to stop trading. I trade every day. But while I'm here, I don't want to be glued to my charts all day. It will mad. There's just no point in being here.
Interview with a Full Time Forex Trader
It also got me to think about last week when I interviewed Imre Gams, who's a client of mine in Canada, who's now a full-time Forex trader, and Imre was looking at the longer timeframe charts and going down from the weekly charts and matching the strengths and weaknesses of the weekly charts with the data charts, et cetera, and basically pulling things together to give a higher probability chance of success, and that is what the longer timeframe charts give you.
Before you start thinking, “Andrew, I can't trade the longer timeframe charts because my account is not big enough.” That's not actually quite true, but we'll talk about that on another video.
Trading the Longer Time Frame Charts
The longer timeframe charts are available for anybody to trade, regardless of your level experience or your account size. In fact, the newer you are to trading, I'd actually suggest that you just look at the longer timeframe charts anyway, because everybody gets involved in wanting to look at the shorter timeframe charts, looking at every pit movement up and down, scared to miss trades, being glued to their charts. Yes, while you're learning, understanding how the charts move and how price moves is really good. It's very important, and we've all been there, been really excited to see our account move up and get disappointed when it moves down. But long term, that's not a good way of trading.
Trade in a way that allows longevity
Long term, it's got to be something that's practical, that it's something that's enjoyable, and when you think about it, the bigger the higher timeframe chart you trade, the more information is contained within that one candle or that one bar. Therefore, the more reliability that candle or that one bar has. That's why I like trading … See, this week I traded the weekly charts on Monday. I've taken six trades on the weekly charts. I took two trades on Monday on the daily charts, one yesterday Tuesday, and one today Wednesday. I'm recording this bit early, because I'll be on a plane on Friday when I'm normally recording the weekly videos. So far, those daily trades have worked beautifully, and a couple of the weekly chart trades are in as well.
On top of that, I look at the 12 and 6 hour charts just twice a day and that's it. You can do that from being on holiday, and that's the great thing about it. It's all about having something that's reliable. The bigger the timeframe chart, the more reliable the information and the data within that timeframe. Just think about it, logically. You can't have a five minute chart having equal strength as a daily chart. It's just impossible. Look at those bigger pictures. Look at the longer timeframe charts. They're certainly more reliable. They also have higher reward to risk and of course the amount of time that you need to trade them is considerably less. So put all that together, why would you trade shorter timeframe charts?
I trade 30 minute charts and one hour charts, but I've got robots I've created that do that for me. I don't want to be sitting there 24 hours a day watching every 30 minute chart or every one hour chart change over. Why would you if you can create a robot or expert advisor to do that for you? That has those shorter timeframes covered as well. Manual trading, definitely get onto those bigger picture, longer timeframe charts.
Do the professionals trade 5 minute charts
How many full time traders do you know of, ever heard of, that trade five minute charts? Probably, I can't actually name any, but probably not very many. Think about what the professionals do. Think about what the people who have been trading, like myself, 15 years. What do we do? We trade bigger picture timeframes because that's why we're still trading today. It works and it's far more enjoyable.
Celebrating 9 years of The Forex Trading Coach helping traders
That leads onto another thing. Next week I'm holding a 12 hour sale to celebrate the 9th birthday of the Forex Trading Coach. It's going to be 12 hours and that's it. I'm really, really proud of our longevity, of the amount of people that we've helped, people like Imre last week, who I interviewed. Full time Forex trading, given up working. He's worked for Google and Apple, I think it was. Now, working from home as a full time Forex trader. How good is that? And from my point of view, how incredibly rewarding that is, that someone who's taken my course, and there's a number of people like Imre who are now full time trading. Others are just increasing their passive income and their enjoyment of trading. Some are full time. It's a good mix of achievements, but from my point of view, massively, massively rewarding to have so many people, and to help so many people globally, over the last nine years.
Nine years after starting, we're still here helping traders throughout the world every day. That's massively rewarding from my point of view. We've got an incredible group of traders that attend my webinars and on the forum site, and just really, really pleasing. Go back and have a look at how many companies, whether they be brokers, education, signal providers, whatever they might be in the Forex market. How many of them were there nine years ago? Not very many, will be the likely answer.
Now it’s your turn to join us
If you'd like to join, I'm going to put a link to that 12 hour sale below this video, on this post. It would be great to have you on board with us and to share with you what we do. If you'd like to join the … This is your opportunity. Obviously, being a birthday sale, it's a once a year thing. Don't miss out. It's going to be 12 hours and that's it, but you need to register first in order to get notified of the sale next week.
I'm off to enjoy this amazing place called Queenstown. If you've not been here, South Island of New Zealand, it's absolutely stunning. One of the most amazing places that I've ever been to. We're here many times a year. Absolutely love it here. To do things like this, get onto those longer timeframe charts. They really will help you in so many ways. It's not funny how many ways the bigger picture trades can help you.
Once again, this is Andrew Mitchem, the Forex Trading Coach, off to enjoy this amazing place called Queenstown.
Thanks again, and hopefully I'll see you after you join the birthday sale next week. Bye for now.