 Okay guys, welcome to today's second in our series of online education sessions for 2020, the new decade. If you can hear me loud and clear, can you type a Y in the chat box? You should also be able to see a introduction screen to Tick Mail, we want traders to succeed. So if you can type a Y in the chat box just to confirm that you can hear me and you can see that, that would be great. Thank you very much. Okay, as always, we are going to pay attention to the risk involved in forex trading and we're just going to once again familiarize ourselves with the risk disclaimer. Let's give you a second or two to review that. Like I always say, you are helping to mitigate that risk by taking and participating in these education sessions and taking advantage of the information that's on hand here. Okay, so before we jump into the meat of today's session, I'll just give you an introduction as to who I am. Most of you are probably familiar with me, but for those who aren't, my name is Patrick Munley after I graduated from King's College London, I went on to successfully co-found and exit a consulting startup. I then moved on to explore my passion for markets, I researched, developed, tested and implemented a robust trading plan. This trading plan was underpinned by a rigorous risk management strategy. This plan has delivered profitable annual returns since 2008. Since 2013, I've also been managing investor capital through my managed account service. This service has delivered annual positive returns since inception. I'm currently responsible for managing a multi-million dollar portfolio. Since 2010, I've also been personally mentoring over 100 private traders of all experience levels from complete novices to former CME floor traders and helping them to develop technical and more importantly, the mental skills to reach consistent returns from the markets. Over the years, I've consulted to numerous brokers and trading education brands contributing written content, webinars and live presentation content on a range of topics from market analysis through to trading strategy development and execution. In addition to my fund management, which is largely automated than now, primarily an end of day process and my private mentoring, I also manage a proprietary trading team for a company called Little Fish FX. I'm currently the resident market expert providing market and trade analysis to a leading online brokerage firm, Tick Mill, as most of you all know. Most recently, I've been retained as head of trading and trader education for an emerging trader education brand called FX Career Swap, where we offer education underpinned by the offering of trading funded accounts. And this is primarily focused to emerging retail trading talents. So that gives you a flavor of where I'm coming from. And now we want to move into the discussion that I want to have with you today. And that is about multi timeframe momentum. Multi timeframe analysis is simply the process of looking at a financial instrument of the same price, but on different time frames. Remember every financial instrument that you look at exists on several time frames. So this could be a daily chart, an hourly chart, a 15 minute chart, or even a one minute chart. This means that different traders can have different opinions on how a pair is trading. And both can be completely correct, which is incredibly important and something we'll go into a little bit more detail on. But before we get into the key aspects of multi timeframe, let's unpack the idea really of what momentum is. So what we want to really grasp here is how that's driving the markets. Now, from a scientific perspective, from a physics perspective specifically, it refers to the quantity of motion that an object has. A sports team, for example, that is on the move has momentum. Momentum can be defined as mass in motion. All objects have mass. So if an object is moving, then it has momentum. But for us today, what we want to focus on, what it means for us as traders. Momentum in technical analysis refers to the overall rate of change in the price of an asset. Momentum is calculated simply by taking the slope of the trend line, which tracks the price levels of an asset over time. Traders often take momentum as a measure of the volume of the market. If prices are changing rapidly in the market, meaning that momentum is high, it's likely that a large number of traders are buying or selling to push price to change in that direction. As such, extremely high or extremely low values for momentum are taken as signs that an asset may be overbought or oversold. If momentum reaches an extreme high, the asset is overbought. And if momentum reaches an extreme low, the asset is considered to be oversold. So buy and sell signals are essentially generated when momentum reaches extremes. So for a sell signal is generated when momentum reaches an extreme high and a buy signal when momentum reaches an extreme low. Traders consider this to be a leading indicator of price behavior of a given asset and also defining the overall character of that asset. So now we have an understanding of what momentum is. Let's unpack in a little bit more detail why we look at multi-timeframes. When we refer to multi-timeframes, as I've just stated, we are looking at charts with various price data as defined by the period of the chart. So on the screen at the moment, there's a daily chart, a four-hour chart and a one-hour chart. Each one of these represents the same price movement, but we are seeing them as per the candles that make up the data for that particular timeframe. Now, what's incredibly important, when you're starting out as a trader or when you are just getting going and you have a little less experience than those who have been around the markets for a longer period of time, what less experienced traders tend to do is they tend to focus on the lower timeframes. Why do they focus on the lower timeframes? Well, they perceive initially that the lower timeframes give more trading signals. The charts move quicker and when people are first introduced to the idea of getting involved with trading, they are under what I believe to be the misapprehension that trading is an adrenaline-fuelled experience, that when we're looking at our screens, if we're not seeing charts move up and down quickly, then we must be doing something wrong, then this can't be trading. But the reality is that trading should not be an adrenaline-fuelled experience. And one of the ways that ultimately we overcome that initially is by learning to look at the higher timeframe charts. The higher timeframe charts, obviously, the data takes longer to print, so a candle depending upon the timeframe weekly, daily, or even monthly, obviously takes a long time to print and the charts tend to have a much slower feel to them. And that tends to ironically be less attractive to people who are new to the trading world and the trading experience, because initially people are attracted to that movement on the screens. They want to see that movement because they believe the movement is what creates these great wealth opportunities for them. When in reality, what we are much better off doing when we're just getting going and we don't have a huge amount of market experience is that we're much better on these higher timeframes because they tend to cancel out a lot of the noise that you see on the lower timeframes. And it's far easier for us to identify the dominant trend using the higher timeframe. So what we want to do in our trading is we want to do the absolute opposite of what we've got on the screen at the moment. We don't want to be defining the trends of the dominant trend in the market by looking at a lower timeframe chart. We want to move out to the higher timeframes. We want to get perspective. Perspective in trading is everything. If we're able to define a dominant trend on a higher timeframe, then that dominant trend is ultimately going to feed through and dictate the overall trend on the lower timeframes. Okay, so here's an example on the screen at the moment. You can see a huge you can see that there are three levels. You can see that there are basically three levels of price action. We have a 15 minute chart and you can see the zigs and the zags are much much more are much more defined on the lower timeframe. We then take that up to a 60 minute chart and we can start to see that the that zigging and zagging that we see on the lower timeframe is starting to be a bit more smoothed out. So we're starting to be able to define what the trend is with a little bit more ease just by eyeballing the charts. And then what we've got is then we've got this higher timeframe, which in this instance is a four hour chart. And that is showing us a much smoother chart. And so what we can start to see now is that by looking at these higher timeframes, it is much easier just even from an eyeball level for us to define what the higher timeframe trend is. And then we can equally see that on the lower timeframes, there are trading opportunities to align ourselves with the higher timeframe trend. So this is giving us an idea of how we can start to use the higher timeframe to dictate the trend and the lower timeframe to enter with the dominant trend. Does that make sense to everyone? Can I get a Y in the chat box please if that makes sense to everyone? So what we're initially what we're talking about here in using this multi timeframe analysis is we are looking to define a dominant trend on the higher timeframe and then we are looking to use the lower timeframe to enter in accordance with the higher timeframe trends. Okay. So now what we want to think is how can we how can we add a tool that will help us more clearly define with an objective nature the momentum trends and what we're going to use for that ultimately is what is what's referred to as the stochastic RSI. So what is the stochastic RSI? Well the relative strength index is a price following line that attempts to display the strength of movement within the associated trends. Okay. So an RSI is referred to as the relative strength index and it's a line on the chart that attempts just as a single line to demonstrate what the current trend is. Okay. The stochastic RSI is actually an oscillator. As the name suggests it's an indicator of an indicator. The standard stochastic monitors relationships between closing prices and the range. Felix what you've asked please repeat where we enter on the lower timeframe. We haven't I haven't got into that yet Felix. What I was simply trying to show you with that prior slide was how the lower time frame feeds into the higher time frame trends. So we haven't got to the details yet. Don't worry they're coming but thanks for the question. So just to be clear here the stochastic RSI as the name suggests is an indicator of an indicator. The standard stochastic monitors relationships between closing prices and the range. The stochastic RSI monitors the RSI values and their relationship over a period. So we can use this to give us additional objectivity when we are trying to identify the shorter term momentum in line with the longer term momentum. So now what we're going to look at is I'm going to show you how you can set up charts that can easily show you what the higher timeframe momentum is and what the lower timeframe momentum is. Now for the purposes of these examples as we go forward now through the remainder of this session I am using on the left hand side of the screen you will see a 60 minute chart. So each candle on the left hand side of the screen demonstrates 60 minutes of price data. Okay on the right hand side of the screen you will see a daily timeframe. So each candle stick there is 1440 minutes of data. Okay so it's 60 minutes of data per candle on the left hand side 1440 on the right hand side. So we have an hourly chart and a daily chart. We are using the daily chart the momentum on the daily chart to define where the higher timeframe trend is. Okay so we are only going to trade in accordance with the higher timeframe. We do not want to take trades in the opposite direction to the higher timeframe momentum. So now that we've got now that we can see how we want to set up the chart so that we can quickly see where the higher timeframe momentum is and where the lower timeframe momentum is. Now what we're going to do is we're going to look at some simple rules. So as I suggested we're only going to trade in the direction of the higher timeframe momentum. We enter at or near the end of a correction on the lower timeframe. As we proceed now through the through the example I'm going to share with you I'll show you how I define what a correction is and what we're doing is we're using that higher timeframe so if we go back to this slide we're using that in this instance the four hour would be the equivalent to us our daily chart and then the 60 minute chart is what we will be using to enter on that daily timeframe. So we're going to identify using our momentum indicator the stochastic RSI where the higher timeframe trend is and then like I say we will use our hourly chart to enter with that higher timeframe trend. Okay and then what we're going to do is we're going to use a logical entry management and trade entry, trade management and exit strategy. So we have three simple rules segments here that we're going to appear to and you know this in any strategy that you're looking to trade or any strategy you're looking to apply to the market or any method you're looking to apply to the market. It's incredibly important from the get go as you will know from my prior sessions that you apply a rule set. Why do you have to apply a rule set? Because we as human beings will often fall foul of the raw emotions of fear and greed. What can't fall foul of fear and greed is a documented rule set or trade plan. So once we have once we've identified a market method or approach that seems to have an edge or a high probability outcome over an extended series of trades so I'm not interested in whether or not the next trade is a winner or even if the next buy trades are a winner. But over a hundred trades I want to I want to I want over a hundred trades to be able to see that I win enough trades that if those trades are profitable my overall return is positive. Okay so to do that to effectively do that unlike every other less experienced person who comes to the markets and just looks at the charts and thinks right this has gone too high it's going to come down this has gone too low it's going to come up. We are always when we want to take our trading from the level of just playing at the markets to being professional in our approach every time we're going to apply a strategy we want to underpin that with a rules-based approach and like I said at the beginning with my own trading strategies all of that then combined with a risk management strategy okay. So let's go through now and we're going to look at some examples now what I could have chose to do here is just cherry pick examples from the charts that look great that's not what I'm interested in doing I'm not you know the reality of trading as hopefully most of you know now is that losses are an inevitable part of the game it's a business cost it is a business cost trading when done successfully is a business and for it to be a business there have to be associated costs okay and that one of the costs in trading is losses. There is no strategy on this planet that is delivering 90, 95, 99% winning trades if you are if you are looking at the strategy and the only way you're defining success is by the amount of trades it's winning you're doing this wrong what you've got to look for in a trading strategy is profitability okay because believe me a trading you could a trade there are trading strategies out there that only win 40% of the time so every out of every 10 trades only four of them are winners you can have six trade losing trades in a row and four winners and those four winners can mean that the strategy is ultimately profitable if the risk reward parameters are correct and that's what we that's what we're going to look at now when we look at these examples we're going to see how we apply the multi time frame analysis looking at momentum for an objective signal and then we're going to see how we use risk reward to make sure that even if we only win four out of ten trades overall we're profitable okay now like I said I'm not I haven't cherry picked what I've actually done here most of you will know I provide a daily market outlook um omni tip milk blog I also provide a chart of the day and what I've pulled off here is a kind of the daily market outlooks and a bunch of charts of the day where I've highlighted setups and I'm going to show you now in this next section how you can use those charts of the day and how you can use this multi time frame analysis to actually benefit from those charts of the day potential setups okay so here's the first one pretty recently this is the uh a daily market outlook I posted on the sixth of January and on the chart on the left hand side the blue lines you can see are actually uh are actually bar they're bar patterns so those those those candlesticks hadn't printed when I posted that chart you can see the price there the prices are around turning around 111 60 and in my forecast for that day due to the pattern that had set up I identified the potential for prices to rise above 112 before they would start to sell off again now what we're going to look is we're going to look at how you could have traded that using the multi time frame momentum strategy so the the charts uh the charts that you can see on the left hand side is our um is our intraday chart that's our hourly chart and the chart you can see on the right hand side is our um our daily chart so that's defining our momentum trends and what we've had occur in that um in that section was that um we had a reversal on the daily chart as defined by where I've drawn the Fibonacci retracement on the um on the screen at the moment let me just see I'm having an issue with the pointer here bear with me guys and let me just see if I can get this uh this pointer working let's see pointer no bear with me guys let's just see no there seems to be um unfortunately an issue with the pointer here uh we're gonna do change that no we've got an issue with the pointer that's uh that's frustrating okay so the um you can see here on the left hand side we have had a decline the decline after the momentum had rolled over if we look just at the start of 2020 on the right hand side screen you can see the stochastic RSI the green line has crossed over the red line from above the 80 level okay and so now what we've got so now what we've got is a bearish momentum on the higher time frame so this is depicted by where I've drawn the fib retracement tool on the left hand side so we can see that prices have declined the decline has impulsive qualities what do I mean by impulsive qualities well the price action as we decline there has not overlapped when prices fall away like they have and we don't get any overlapping in the swings that tends to tell us that we have a new trend developing now in the correction that follows after we get after we get that low in place there's a correction that follows and prices trade back up above the 112 as I've anticipated and then we get a momentum reversal on the lower time frame so just around the middle of the day on the six as you can see on the left hand side the green line crosses the red line on the 60 minute momentum we've got the momentum on the higher time frame also bearish and we are watching price action as it tests into the 50% retracement and an ABC correction as highlighted by the extension tool that prints that red line at 1207 okay can everyone follow along here I apologize that I'm got the pointer here but is can everyone follow along with with what I'm saying so what we're looking at is this move up above 112 and then we've got that bearish reversal okay let me let me just pause this and I will get I'll get this this pointer sorted out guys just give me give me one minute here okay guys sorry about that can you see the screen now I'm gonna have to do this in a slightly different way so that I can use a pointing tool here so it'll make more sense I'm just trying to blow that up okay I'm gonna have to move can you see you can see the charts if you can type a Y in the chat box just so you can let me know that you can still see the charts and you can now see my pointer on the screen great stuff okay apologies about that uh slight issue there with with the pointer okay so let's let's go back into this so what we're looking at if I move this across this this is our bearish reversal on the daily time frame okay so here we had a bearish reversal as characterised by these two candles here and this being our momentum indicator the stochastic RSI that that this decline here that we can see equates to this leg of downside in the in the price action so we have this leg of downside notice how in this descent right the swings don't overlap okay so we hold resistance create support hold resistance create support hold resistance and so on until we make a swing low after that swing low prices advance we've made got a low in our near-term momentum so this is our near-term momentum on the hourly chart prices advance we get a pullback we've got here an a an abc target of 112 from this low so versus the first pullback once we've made our reaction low as defined by this low here we then look for an equidistant swing so we're looking for this leg to basically be at a minimum replicated here to define when the correction on the shorter time frame is completed we also have the fib resistance in this area and so what we're watching for is as price trades up into this area do we get a bearish reversal okay and we do get a bearish reversal we have our shorter momentum overbought and turning bearish whilst we have a higher time momentum so as defined by this line here this arrow a higher time for momentum is also bearish so now we have synchronicity on our lower time frame and a higher time frame this trade you can enter one pit below the low of the candle and put the stop one bit above the swing high and then what you're doing is you already have a natural target because what we want to see is when prices retest the prior swing low we will move our stop to our entry so we take our our risk out of the equation our risk off the table and we're ultimately going to target a move to the one two seven extension of that negative client that we're tracking okay so we've got momentum confirmation on the dual time frames we'll just bring this down a touch so we have momentum confirmation on the dual time frames and then we get our signal by a bearish reversal candle as we trade into our potential price reversal zone okay so we enter one pit below the low of the candle and we put our stop one pit above the swing high and we wait for prices to test down into the prior into the price swing lows this is 111.24 and we entered around 111.95 so we risked 20-25 pits and we're all ready by the time we get back into the lows at 70 pips in profit and then we once we trade into that low we take our risk off the table so we move our stops to our entry okay or we could trade our stops even further down above the last swing high both in momentum and price so we could trade our stops down to 111.70 so locking in some profit depending upon our trade plan what I'm trying to show you here are the multiple ways of managing these trainings and then we're waiting for price to trade down into our target at 109.36 and we get that trade into the 109.36 so there we're taking away 140 pips of profit on a trade where we risk about 25 or 30 pips because that makes sense to everyone and why in the chat box if you follow what I'm saying that yeah that's right that's right because what we're looking for the overbought what we're looking for here is we're looking for the stochastic to roll over the stochastic RSI rolls over so what we've got here we've got on the higher time frame the stochastic RSI has rolled over and the lines have now diverged to the downside suggesting that there is further downside momentum ahead this is an hourly reversal okay so what we're doing here is once the lines cross over we've got confirmed by this bearish reversal inside candle here that's our signal to join in with the potential for this new higher time frame trend does that make sense arena so what we're looking for that the two the two the two qualifiers are bearish and descending on the higher time frame and bullish overbought bullish overbought but but with a bearish cross on the lower time frame that gives us our entry signal and then we manage the trade down through to the price swing low where we can take our risk off the table and then on through to our profit target which are one two seven extension let's look at another example so this is the swiss yen i posted this just last week this setup this is that the daily chart where which i use to give the the signals and identify where the the trend turns may be and now let's look at it on the on the shorter time frame chart okay let's look at the so this is our signal setup on the daily time frame the bullish reversal in the stochastic on the higher time frame okay so we get a bullish reversal got this big outside day candle on the higher time frame as denoted on the lower time frame by this price section non-overlapping into a high okay once we've got that high we're confirmed by this bullish cross on our daily time frame momentum we're then looking for a correction and we're looking for that to be an a b c into an equidistant swing target meaning this leg will ideally be equal to that leg and that that equidistant swing requirement is a minimum requirement it can exceed but as a minimum we want that equidistant swing and we have a 50% retracement all syncing up in and around this 111 44 111 45 area then we get that bullish reversal from the candlestick pattern we also get a bullish reversal in our lower time frame momentum so again higher time frame is bullish bullish and diverging to the upside lower time frame is bearish has been down to test the bearish levels of the 20% to the downside and now is making a bullish reversal on the lower time frame confirmed by some price action so we enter our trade one pip above the high of that candle so somewhere in the 111 55 area our stop just below so let's say 111 35 so again we're risking about 20 kips here this is on an hourly chart that's decent risk reward our first target is up at 1201 so we're taking about 45 kips once we get up to 45 kips so about two times our risk reward then we're going to move our stock to our entry level and we're simply going to watch can we trade up to the 127 extension so again what we're doing is we're removing our emotion from anything that's going on the charts we've defined objectively a higher time frame trend a lower time frame entry in alignment with the higher time frame using the same set of logic and then we predefined risk parameters and predefined a target predefined when we're going to move our stops to entry and take our risk out of the market okay unfortunately again in this instance prices move up steadily and we trade to our target so we risked about 30 pips on our entry when we're 40 uh when we're 45 pips in profit we took our stocks off we took our risk off the table and moved our stops to entry and then we traded up to 70 uh to 112 30 so we had uh we had about 80 pips of profit so about 2.5 times risk reward so that makes sense for everyone so this is our higher time frame here this was the reversal pattern reversal momentum we waited we watched this this is that this is that move we get the pullback we get the corrective pattern and ABC pattern into the Fibonacci support area price reverses as does the stochastic RSI and that triggers into the trade up into the first target risk off the table and then our ultimate target for 127 extension giving us that 2.5 times risk reward okay let's look at another one this is gold the end of last year i talked about the potential for replicating patterns in gold suggesting upside let's look at how we could have got into that trade so we get our bearish reverse sorry our bullish reversal here prices extend to the upside as defined by this move here this is non overlapping price action it's suggesting a new trend developing so move to the upside once we get that swing high in place we start to pull back and correct so here's our first leg of correction prices overlap here and then we're looking for a second leg which as a minimum objective we want to see an equidistant swing achieved we trade down into the 68.1 percent retracement area and we enter the trades okay so we get this we get prices test into this area we enter one clip above the candle that tests into our um testing to our support zone once we get the cross the bullish momentum cross we trade it we trigger into the trade around one around 1460 and we can use a stop just below the low there over about 1456 so we're risking five dollars here sorry four dollars in the gold chart and we're ultimately initially starting to move up to retest the swing high which we get so by this stage we're $25 sorry we're $15 in profit we risk five so we've already got a three to one working for us there now um I didn't have to I couldn't I can't obviously these aren't live charts I can't scroll through unfortunately in this instance but what I can tell you is that trade did get to risk free but it did not move up because we got you can see here on the daily chart we actually got a deeper pullback and that ultimately took us out of that trade break even so again we we are not involved in trading to win every trade we forgot we're involved in the markets because we have defined a high probability scenario that has a favorable risk reward parameter and that's what we had here trade worked initially but then it it didn't follow through to our target but that's fine we just move on and we look for our next setup so here's another chart this is the silver chart again posted around the same time where I identified a symmetry pattern in terms of similar price action that pretended to be higher than silver what did we get well we got our reverse bullish reversal here in silver as per the higher time from momentum on the daily chart so we got long uh sorry we got a signal here non-overlapping price action into a swing high then we made a bearish reversal an abcd minimum requirement was met into 38.2 sentiment retracement around 1680 and then we spiked up into our risk free so our profit we take our risk off the toe at that stage that was up into 1690 and then we spiked into our take profit at the 1709 level so there's another trade very favorable risk reward we look we have a logical set of rules that we're following as predefined the trade trigger meets our entry criteria and we like I say we spike higher ultimately we pull back um but our trade has already finished by them because we've met our profit objective okay let's look at another one so now we're moving into some some more recent examples this is the s&p chart I just posted yesterday okay and what I'm looking for now I I see the potential at this stage due to some other technical factors and some sentiment factors that we could be moving into a corrective phase in the s&p 500 I do not think the world's coming to an end and the s&p is going s&p is going to crash what I do think is there's a potential for a correction to develop now this is this is well this is a chart just before I signed on today now here's what I'll be looking for going forward with this with this chart so this is something you guys can track now in real time as this market potentially develops I have a target reversal zone at the current level so from 3300 up to around 3320 3330 I am looking for a bearish reversal so I will need the green lines across the red and come ideally get back down below this 80% level okay and then what I'm going to be watching for on this chart is a decline in the short of time frame and then I'll be looking for an abcd correction and the secondary high in this momentum so I'll be looking for momentum to come down then make a secondary high while this is still diverging to the downside and that will potentially be a signal for me to get into that short trade in the s&p okay so that's what I'm watching now real time for the s&p 500 what I'll do is I'll post potentially actually I'll post on the on the titanal blog going forward I'll continue to track this pattern for you and I'll post some updates on there as this pattern potentially plays out is it definitely going to play out hell no but if it does using this strategy I'll show you in real time or as close to real time as I can how this strategy works for you to enter that trade using a relatively low risk reward with a pretty high profit potential now let's just close up with a couple of other examples this is a trade I've been in this week in the euro dollar so the euro dollar has got this bullish reversal on the daily chart we've got some outside candles developing and this non-overlapping price it's overlapping slightly but sufficient to look for a corrective trade to enter a correction we've got an abcd we exceeded the equidistant swing target from trade down into the 61.8% of the tradesman and we've got this bullish reversal on the hourly time frame so I put on a trade I entered one pip above the high here around 112 50 50 I got in and my stop just below the low there at 111 so I risked about sorry 112 111 25 so again I risked about 30 pips and I'm currently running about a 30-foot profit I've come just I've come just shy I didn't get a fill here on the on the take profit target prior to coming onto the webinar maybe I did get a fill after that this I didn't get a fill here so I'm looking for this 111 63 to trade to take me out of that trade for for a profit there that's a real-time example that's just this week of how this strategy works bullish reversal on the daily time frame then we got this we got this swing high correction into this low on the hourly time frame we met the minimum requirements traded 61.8% of tradesman bullish reversal bullish reversal on the hourly momentum that set us up on the long side which is working well now here's one also you can watch that I'm going to be tracking going forward I'll put this probably put this up as the the chart of the day and today or tomorrow we've had an extension in the Kiwi the New Zealand dollar to the upside so non-overlapping price action we're getting a bullish reversal in the daily momentum okay now what I'll be looking for over the coming sessions will be an ABCD correct sorry an ABC correction into somewhere around this 50 61.8% tracing area I'll be looking from momentum to be below the 20 level but pointing to the upside bullish bullish reversal in momentum and that will be a signal to get long in the Kiwi dollar okay guys that that covers pretty much everything I wanted to to share with you today regarding multi time frame analysis I apologize for the slight inconvenience there with respect to the pointer we'll have that sorted out for the next week I'm just going to take a quick sip of water and I've got about five minutes here if any of you guys have any questions about anything we've discussed today feel free to type in the chat and I'll answer as best I can in a few minutes Aruna does the reversal have to be in the overborders ideally when you're starting out Aruna with this strategy that's the to remove subjectivity you're better off at least having the fast line touch the 20 points on the downside or touch the 80 point on the upside just to give you to take away the subjectivity from it in the early days once you start once you become familiar with the strategy and you train your eye and you've got a bunch of screen time with it you'll start to understand how you you'll start to understand old terms of entry strategies but that those are additional rules that you'll build into your plan over time when you're starting out I would use the 80-20 levels just to give you that some objectivity Aruna how do you combine our sorry the stochastic RSI is a standard indicated indicator Francis for for most platforms any other questions guys looking at weekly or monthly if you're trading a daily I suggest the monthly what I what I like to do is skip a time frame basically because you'll find that the daily chart and the monthly chart synchronize better than the daily and the weekly there'll be there'll be some there'll be too many conflicts and if you're for those who are less experienced that will just confuse you you're better off just using skipping a time frame to give a smoother signal yep on mt4 you can get that Francis thank you jabs okay guys I'm going to wrap this one up here and next week we will we'll be looking at some pattern recognition started to touch on some of those patterns today with the ABC but next week we'll go into a bit more detail about these patterns and we'll put some some objective rules around how to identify them and so you can start to build up your knowledge level and start to see how these strategies pull together thanks very much for your time guys I hope you enjoyed the session I'll catch you all next week