Day Trading Chart Time Frames! WHICH ONE???
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Day Trading Chart Time Frames! WHICH ONE???

October 28, 2019


day trading chart timeframes talking
about different time frames and how to use the different charts when you’re
trading so stay tuned what’s going on guys
Patrick here today we’re talking about something that seems very basic but Co
people have asked about it and it makes sense I really haven’t
talked about it much saying I want to make this little video talking about day
trading timeframes and charts and how I use different time frames and the EMAs
and how it all works and kind of my theory on why I use the charts the way I
do so first off let’s just get the basics out of the way there’s different
time frames and when I’m talking about time frames I’m talking about the
different time frames literally so this is a one-minute chart and that makes
sense every single candle on this chart is one minute so you got you know this
candle right here represents one minute of price action
it went from 1868 to 1888 on that one minute candle I know this is basic but I
want to break down the basics so everyone can understand on the
one-minute chart I’m using the nine EMA which is the exponential moving average
and I’m also using the 20 EMA this really comes down to personal preference
and then figuring out kind of what works best for you and all that fun stuff when
you really get into day trading when you really start trading and figuring it out
it’s gonna come down to your personal preference what charts you want to use
what software you want to use what different indicators you want to use all
of that stuff is personal preference some people use different indicators and
it works it doesn’t really matter what indicators you’re using remember these
indicators are lagging so no matter what indicators you have on the chart it
doesn’t matter in that moment the indicator is telling you what happened
in the past it’s not telling you the exact so if you see you know the
indicator is pointing straight up it doesn’t mean it stocks going to keep
going straight up it can turn off and go down so don’t get too caught up in
indicators really just focus on price action support resistance and the
overall trend and kind of reading the chart so obviously you know looking at
the one-minute chart it’s gonna be all over the place because you have all
these different candles it’s up down so you know all around this is snapchat it
was all around today actually was kind of underneath the view app all day long
pullbacks you know in general with the EMAs it’s not going to be as clear when
you’re reading the one-minute chart when it comes to the EMA’s and all that the
one-minute chart will kind of give you a better idea of what’s happening on that
small timeframe so if you’re really just trying to get in and out of a trade fast
if you want to see kind of like hey what’s going on right at the second you
can look at the 1-minute chart now if you want look at kind of a bigger
picture there’s people that trade on the two minutes chart people that trade on
the five minute chart there’s people who trade on the 15 minute chart it really
depends on your personal preference but for me I use the 1-minute chart
I use the 5-minute chart and then I use the daily chart really as my main focus
also I’ll use like the hourly chart it really depends on kind of what I’m
looking for you know but if it’s a swing in general let’s say I’m trying to get
like a a month long swing going on I’m gonna be looking at the bigger picture
so the bigger picture is gonna be you know like the daily chart the one-hour
chart so let’s say I want to look here at the one-hour chart on snapchat kind
of get a better idea of what’s been going on recently I can see here okay
snapchat recently made a big spike and got from that $14 area I can also see
that this $13 area was kind of like support you knows Holden really didn’t
dip below that $13 area for a long time so I’m thinking okay
there was good support there at $13 if I was looking to go long just swing this
before I would have been looking to go long at a 1315 area so right there you
can see already on the bigger timeframes it’s easier to see the trends now
looking back at the one-man chart I would never have seen that there was $13
support there because I just can’t see it cuz it’s so far back in time and the
1-minute charts very zoomed in it you know you’re like binoculars right on
like that moment what’s happening right then and there
so the 1-minute chart is you’re gonna be trading you know that kind of in and out
really quickly if you’re trying to get a quick scalp like that you look on the
1-minute chart I really like the five-minute chart
because it’s a little bit easier to see you know for day trading we’re looking
at that daily what’s going on inside of there but I can also see kind of what
went on yesterday so yesterday I can be like okay I’m looking here at the
resistance support I can see yesterday that this 1886 II area was pretty good
with support you know on snapshot bounced on there 1886 had a little
pullback there below that one but overall it kind of held that 1886 area
and even you know at the end of the day after our still didn’t touch below there
so I’m thinking okay that’s pretty good looking support you
if that 1886 here you might break it might move lower so I can see by looking
at the five-minute chart the bigger kind of picture in terms of the last couple
days and then seeing like we’re that serious support where that resistance is
and then kind of the overall trend obviously looking at this right now I
can see that this overall trend is not not going up right now by any means so
that’s not looking good in terms of where this thing is going overall it’s
trending lower so I can see that by looking at the 5 min chart now going
back to the one-minute chart I couldn’t have seen that really you know looking
at this on the 1-minute chart it’s basically just going across the screen
and if I’m only looking at the one-man chart I wouldn’t know that yesterday had
that support or has that downward trend important to be looking at the overall
picture kind of seeing what the overall trend is on the stock and then really if
you look here the daily chart on snapchat it’s kind of the same thing
like ok I look back here overall this thing is heading lower so there’s a good
chance that this thing is gonna pull back at least you know kind of back down
where it started at just to find some support because it had this big gap up
there I can see the overall picture now I got a better idea like okay you know
it’s clear to see on this chart what’s going on with the daily and kind of in
general so I’m using the one-minute I’m using the 5-minute chart I’m using the
daily chart and it gives me an idea of what’s going on with the overall picture
a lot of times when people trade or I do the same thing or I just only focus on
the 1-minute chart and then I don’t realize that hey let’s say for some
reason I’m shorting this at the 1910 area that’s want to short it and I
didn’t look at the five-minute chart and I’m looking hey this thing’s gonna crash
it’s going down down down but then if I look at the 5-minute chart I might see
hey yesterday 1886 here you bounce a couple times so it might bounce against
a day so if I’m going short here the 1915 area where what I look to take
profit or where might this bounce at and boom look we’re bounced it bounced off
the 1886 series so it’s very important to look at that overall picture I get
caught up sometimes in the moment you know I’m trading some crazy stock I’m
looking at it it’s hot hot hot and I’m not paying attention and all of a sudden
I look at the bigger picture I’m like holy crap there’s resistance coming up
or oh I just bought right at resistance what a bad idea why didn’t I look at the
bigger picture so now
I’m trading I actually have a 1-minute chart up top I got a five-minute chart
down below and I got a daily chart down there on the daily chart I’ve got the 50
EMA I’ve got the hundred EMA in the 200 ma on the 5-minute chart I’ve got the 20
EMA the 50 EMA so depending on the different time frames you’re gonna use
different indicators because that’s a bigger time frame you need different
indicators you know using a 9 minute EMA on a daily chart so it’s not gonna do
anything for you you got to go to a bigger picture and then see also if I’m
looking here at the daily chart I can see okay you know the 200 EMA here is at
that 16 dollar area alright that’s that’s pretty good that’s a good sign if
I’m looking for some support where support is that’s good another stock
real quick look in the video so I’m looking here in the video and it’s
pretty clear here and so you can see it we pull up maybe up here so if I look
here in the video I’m looking daily chart I can see okay let’s say I want to
go long on the video right I’m trying to go long here where am I gonna go long
obviously this looks beautiful trend wise it’s got a great trend on it it’s
pretty pretty clear what’s going on with the video it’s going higher and you can
see that that pretty clear trend Brown actually a really tight channel you know
pull back here a little bit but look at the daily chart I can see where is that
support where is that resistance and all that kind of fun stuff and I can see
boom there’s the 50 EMA there’s a hundred EMA and there’s a 200 EMA on
there again I can see okay this pulled back the other day it’s pulling back
where my I want to buy the dip at where is a good dip opportunity Hey look
there’s a 200 AMA previously back in December it bounced off the 200 EMA so
if I’m looking here at Nvidia I’m looking thinking okay it’s breaking the
channel where might be the next support at you know we got the 50 and we got the
hundred and we got the 200 so the 50 breaks well where’s the next support the
next support at the is there at the hundred so now I’m looking to go long or
looking for my dip buy at that 100 EMA area which other traders are looking for
support as well because they’re looking at the EMA is looking at all the
different indicators and most of the indicators are lining up kind of in the
same spot so it gives me a kind of idea and I understand you know that’s cool so
looking back here at the five minute chart if I’m looking at this I really
don’t know what’s going on with the bigger picture I just see what’s going
on in moving I can’t really know where that
support is where that resistance is and I’m just reading what’s going on right
in that moment you know obviously I can see there’s some resistance or support
kind of what’s moving on but I’m not seeing what’s in the past I’m not seeing
ting or that previous support was so okay today we bounced off to 17 we ended
up at if we had some support well look at that if I look back yesterday on the
five-minute chart there it is we bounced off to 17 yesterday so it’s
important to look at the big picture because now I know hey yesterday we
bounced off to 17 this might be a good dip by maybe I by here to 17 look at it
out there to 234 now so beautiful move here on the video showing you how
important it is to look at the different time frames don’t get caught up on only
one time frame look at multiple time frames confirm your thesis off of
multiple time frames if I look at the one-man chart and it looks like there’s
support there okay I look at the 5-minute let’s look at the daily chart
is there support there well look at that if I look back in November in December
there was clear resistance at that 217 area and I look at yesterday
that bottom and I can’t was 217 so now I can see where it’s all lining up at I
get a better idea by looking at those different time frames so by looking at
the 5-minute I see their support looking at the one-minute I see it’s bouncing I
see the daily it’s bouncing I can look at all these different time frames and
confirm my thesis back in January again it bounced off 217 multiple times
looking at the hourly chart so there it is very simple very important to
understand that you should be looking at these different time frames to confirm
if you want to short something you’re looking for resistance well it looks
like there’s resistance on the 1-minute chart but it doesn’t look good on the
rest of the charts it’s not that strong of resistance now if I look at this on
the 1-minute chart and it looks like there’s a resistance at the 234 here
you’re like right now let’s say this okay you know maybe I want a short here
at 2:30 for area thickness is gonna pull back down there to that other support
okay 234 how are we looking on the 5-minute
let’s look at the 5-minute okay five minutes not looking too bad I can see
there was some previous support there before 234 area now let’s look back okay
there is resistance there before okay that’s making sense now let me look back
further okay now if I look back here on the 60-minute chart the stock got stuck
there at the 234 area before again so now I’m
confirming where that resistance is the more resistance I see you know on the
bigger timeframes if I look at the daily chart and I see some serious resistance
there the 234 area that’s gonna confirm look at that
three days of resistance there at the 234 area it makes a lot more sense makes
me more confident in my position it makes me more confident in my idea or my
theory so I’m looking for that confirmation across the bigger
timeframes and really just all the timeframe 1 minute 5 minute 1 hour
whatever you want to look at figuring out what works best for strategy and
then look at the different time frames be looking at different charts when
you’re trading and getting a better idea of what’s going on so the more so the
more that resistance or that support lines up across all the timeframes the
better chance that that’s gonna be a serious support or resistance or the
overall trend if I see you on the 1-minute chart we got a trend going and
I see the same trend on the 5-minute chart and I see the same trend on the
hourly chart and then holy crap I see the same trend on the daily chart what’s
that mean that’s a pretty serious trend guys so there you go it’s very simple
very easy keep an eye on multiple timeframes don’t get stuck only looking
at one time frame but really look for multiple time frames for that
confirmation of your thesis so if I want to shore something let me see where that
resistance is if I want to go long where is that support at boom makes sense
right it really does make sense it’s almost too easy sometimes to talk about
but I think a lot of people forget this I forget it I forget to look sometimes I
I’m on the 1-minute chart and all of a sudden I look at the daily chart on my
holy crap why did I do that that was a bad idea there is resistance there the
support there so there it is my take on multiple time frames how it all works
with day trading and how you can improve your day trading really by looking at
multiple time frames multiple time frames multiple profit all that fun
stuff if you guys haven’t already do me one big favor I’m just asking for one
favor I don’t ask for anything I don’t ask for much I just ask for your
subscription I asked for a like and then maybe a comment leave a comment if you
liked it video leave a comment if you got a question leave a comment all that
fun stuff I’ll talk to you guys later on

Only registered users can comment.

  1. Hey Patrick, how stable do you find DAS Trader under macOS? I'm running Trade Zero using VMware fusion and I find it so so. Does DAS ever crash on you during a trade ? How often do you need to reset ?Thx dude, and liked as always !

  2. All 3. 1 min to trade (entry/Exit), 5 min for "trend", daily/yearly for previous resistance/support.
    Basing entry exits on where the dow jones is, while not a chart, has come in handy. Market sentiment seems to follow through on downward and upward trends. Last week especially and probably for the weeks to come.
    Good vid, and congratz on your last few Epic wins. Smaller wins but you're right, watching your plan unfold is almost better than the profit. GL

  3. I like the 5 min and 1min because im too nervous about this market. You always make great videos. Thank you so much about that $TVIX i shorted it and make $1350 off of it my best day of trading ever

  4. Being new I'm still feeling it out. But as of now, I use the 1 and 5 minute, and use the 180/4hr to track and confirm trends on a larger scale. Thank you for the videos @patrickwieland

  5. Can you make a video on trading psychology? Your mental attitude about trading and how important this is. Also about patience, discipline and dedication and how you have andor plan to develop these attributes. I think these are a big part of trading as I have struggled with these myself.

  6. Great video. I trade of 2 min and daily charts. Works for me. There is less noise on 2 min compared to 1 min chart. 13, 20, and 50 ema on 2 min and 13ema and 200 sma on daily chart.

  7. Great video, good work. 1min, 5 min, and daily are the more popular ones. 3 min is good too, its divisible by 15 min/30 min, and 1hr.

  8. good vid 1 min is good for scalping 5 min is better for stronger moves 15min is when you have patience and alot of cash lol ive traded for more then2 years for the people reading this sometimes he talks fast but its good stuff you should take it all in while its free

  9. Patrick, nice video. If you have not already read "A Complete Guide to Volume Price Analysis, by Anna Coulling" you should. This book is extremely helpful for understanding why charts do what they do. I highly recommend it.

  10. Definitely use the daily during premarket, and then the 1 and 5 at market open. By the way, how did the blue blocker glasses experiment end up?

  11. Patrick, I noticed at 7:03 you mentioned using a 9 minute EMA won't do anything. The EMA Period is adjusted based on what time frame chart you are using. If you are on the daily chart, it will be 9 day EMA not 9 minutes. Thanks and great videos so far 🙂

  12. Thanks for the great advice. keep it coming, don't let up. I need to learn, and I lean on you for things I don't understand.

  13. Oh ye man with the 5 minute chart you really get the big picture and what is going on for the long term lol
    Holding trades for 10 days I find boring af, but this… 1 minute chart trading… Oh gawd what's wrong with some people? 😀

  14. Oh man, what a great break down of different timeframes to find support and resistance levels. It finally clicked. 🙂 Thank you, Patrick!

  15. I use 1, 3, 5, but only make decisions based on the 5 min chart. And i use Daily to help confim my resistance and support lines.

  16. Interesting video and as beginner things are still not 100% clear but seems that your videos are well recommended!

  17. This is akin to ingredients for an edible recipe; for whom, where and when.
    For day trading one can refer to the daily chart for applicable key S/R levels,
    but one should be using the 1, 5 and 15 minutes.
    Any longer duration is folly and serves no purpose.

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