Commodity Trading Multiple Time Frame Trading Strategy

Multiple time-frame commodity trading strategy equals using 2 chart time-frames to trade commodities trading - a shorter chart timeframe used for trading and a longer chart timeframe used to check the commodity trend.

Since it is always good to follow the commodity trend when commodity, in Multiple Time Frame Commodity Trading Analysis, the longer chart timeframe gives us the direction of the long term commodity trend.

If the long term commodity trend direction supports the direction of the smaller chart time frame then the probability of opening a profitable commodity trade is greatly increased. This is because even if you make a mistake the long term commodity trend will eventually save you. Also if you trade with direction of commodity trend, then mostly you will be on the winning side - this is what this Multiple Time-frame Commodity Trading Analysis is all about.

Remember there's a popular saying by many commodity traders that says: "The commodity trend is your friend" - never go against the commodity trend when trading.

There are four different types of commodity traders - all these different types of commodity traders use different chart time-frames to trade as shown and illustrated below.

Examples of how each type of commodity trader uses multiple time frames commodity trading strategy:

Commodity Trading Scalping

Scalpers hold on to their commodities trades for only a few minutes. Scalping commodity trader never holds on to a commodity trade for more than ten minutes. With the objective of making small amounts of pips as profit, 5 to 15 pips.

A Scalper using 1 min commodity chart wants to open a buy commodity trade, checks 5 minute commodities trading chart, which looks like the one below, since 5 min commodity chart show commodity trend is heading upward, then decides from this multiple time-frame commodity strategy it's okay to open a buy commodities trade.

Technical Analysis Using Multiple Time-frames

Commodities Day Traders

Day commodity traders hold on to their open commodities trades for a few hours but not more than a day. With the aim to make quite a number of pips profit, 30 to 60 pips.

Commodity Trading day trader trading 15 minute commodity chart wants to open a buy commodity trade, checks 1 hour commodities trading chart, which looks like the commodity chart below, since 1 hour commodity chart shows commodity trend is heading upward, then decides from this multiple time-frame commodity strategy it's okay to open a buy commodities trade.

Multiple Timeframe Commodity Trading Analysis Day Commodities Trading - Multiple Commodity Trading Timeframe Analysis

Swing Traders

Swing commodity traders hold on to their open commodities trades for a few days to a week. With the aim to make a large number of pips profit, 100 to 250 pips.

Swing trader using 1 hour commodity chart wants to open a sell commodity trade, checks 4 hour commodities trading chart, which looks like the commodity chart example illustrated and explained below, since 4 hour commodity chart shows the commodity trend is moving downwards, then decides from this multiple timeframe commodity strategy it's okay to open a sell commodities trade.

Trading 2 or 3 Time Frames on Commodities Trade Charts - Trading 2 or 3 Timeframes on Commodity Trading Charts

Position Commodity Traders

Position commodity traders are traders that hold on to their commodities trades for weeks or months. With the aim to make a large number of pips profit, 300 to 800 pips.

Position commodity trader using the daily commodity chart wants to open a sell commodity trade, checks weekly commodities trading chart, weekly looks like the commodity chart example illustrated and described below, since weekly commodity chart shows the commodity trend is moving downwards, then decides from this multiple timeframe commodity strategy it's okay to open a sell commodities trade.

Multiple Time Frame Strategy

Commodity Trading Multiple Time Frame Commodities Strategy - Using Multiple Trading Time Frames - Commodity Trading Multiple Time Frame Strategy - Multiple Commodity Trading Timeframe Analysis - Trading 2 or 3 Commodities Trading Time Frames on Commodities Trade Charts - Multiple Time-frame Commodities Trading Analysis