TOP DOWN ANALYSIS

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TOP DOWN ANALYSIS British Pound / Swiss FrancFOREXCOM:GBPCHFnicholo31Top-down analysis is a multi-timeframe trading strategy. You start by looking at the big picture on macro or long-term charts to find the main trend. Then, you zoom in through intermediate charts to find key zones, and finish on lower timeframes for precise trade entries.The Three Core StepsHigher Timeframe (The Direction): Look at weekly or daily charts. Find out if the overall market is moving up or down. Trade with this dominant trend.Medium Timeframe (The Location): Move to 4-hour or 1-hour charts. Map out market structure, support and resistance, or supply and demand zones This tells you where price might react.Lower Timeframe (The Execution): Drop to 15-minute or 5-minute charts. Wait for a shift in momentum or a confirmation signal that matches your bigger bias before you open a trade.