Good day fam,
It is your humble friend again @mato445 and I hope everyone is doing fine.
I am here today to continue the Interesting topic I started yesterday on timeframe in crypto trading.
To access my yesterday content, you can visit this link and today we will be learning more.
Common Timeframes In Crypto Trading
There are a wide variety of trading timeframes in the cryptomarket and traders can select a timeframe that best suites their trading strategy.
Listed and explained below are some of the most frequently used crypto trading timeframe.
- SECONDS TO ONE MINUTE TIME FRAME:
This is a type of crypto trading time frame in which one of the Japanese candlestick stick is being formed within a space of seconds to one minute.
This timeframe is most often used by high frequency traders, and this traders aim to make profit from short time price movements.
- 15 MINUTE TIME FRAME:
The 15min time frame is a trading time frame whereby each candle in the chart takes a period of 15minutes to be formed.
This means that a new candle can only be formed every 15mins.
The 15min time frame is a very popular trading timeframe that is mostly used by intraday traders.
This timeframe allows them to profit from intraday price fluctuations.
- 1 HOUR TIME FRAME:
1 hour timeframe is a trading timeframe where by each candlestick can be formed completely every hour.
This implies that it takes an hour for a candlestick in a one hour time frame chart to be formed.
The 1hour timeframe is known to be a balance between the medium term analysis and the short term analysis.
And this timeframes is used by traders who before trading, love to get a broader view of the market.
- 4 HOUR TIME FRAME
As the name implies, a 4 hour time frame is a crypto trading time frame that takes a period of 4 hours before a complete candlestick can be formed.
This timeframe is mostly used by swing traders with the intention of profiting from interday price movements.
These traders have trained their psychology to stay in the market for a longer period, for days and weeks.
- DAILY TIME FRAME:
The daily timeframe is a type of crypto trading timeframe where by each candlestick is formed within a time period of 1 day.
In other words, we can say that it takes 1day for each candlestick to be formed.
This timeframe is mostly used by swing traders and big investors to make profit from interday price movements.
- WEEKLY AND MONTHLY TIME FRAME:
The weekly and monthly time frames are known to be very high trading timeframe.
In this timeframe, each candle takes a period of one week or a month before they can be formed.
The weekly/monthly time frame is used by almost all types of traders to understand the current trend and condition of the market.
The monthly time frame is the most dominant timeframes of all, this means that all other lower time frame obey the market structure of the monthly/weekly time frame.
Taking a short position on a lower time frame when the weekly/monthly time frame is signaling a long position may lead to loss on trading.
This time frame is mostly used by big investors in the crypto trading to monitor overall market trends.
Conclusion
Timeframes are very important in crypto trading as it helps to make various trading strategies very effective.
As we continue in later times, we shall learn more about cryptocurrency trading timeframes.
https://x.com/memephiz148421/status/1721914250581434741?s=46
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Dear @mato445 ,
We appreciate your active participation and contributions to our community. To ensure a positive environment for all members, we have implemented a set of guidelines to maintain respectful and constructive discussions while upholding community guidelines.
Timeframe indeed is very important in trading the cryptocurrency market, as it gives one an overview of the market.
Now Engage, Connect, and Inspire Each Other to Reach New heights.
Thank You.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit