HOW I TRADE 5 Min & 30 Min Charts (PRICE ACTION TRADING)

so in this video i'm going to show you how multiple time frame analysis along with price action can be used to combine two different time frames so i'll be teaching you the importance of 30 minute and 5 minute time frame together this can be substituted for any time frame i'll show you how the next point i'll show you is the patterns that work on 30 minute time frame since this is a video about 30 minute and 5 minute time frame chart and then about the patterns that i explain i also have a live module that will play out that will help you how to implement this particular concept that i'll teach you now with respect to time frame substitutions if you are someone like a day trader you can use something like 30 minute in combination of five minute if you're something like a short term trader you can use something like a 60 minute time frame in combination of a 15 minute time frame if you are a swing trader you can then use a combination of something like daily time frame and 60 minute time frame if you are someone like a positional trader this will be something like weekly and daily now since i cannot record on daily weekly time frame that is why i show these things on 30 minute and five minutes so that you can then apply the same concepts on the time frames that you prefer also i usually do a video that is live recording only on a thursday and friday uh so that there is some consistency and you know it's just not a random day that i pick up and i record videos so let us now first get into the patterns that i'll show on a 30 minute and five minute timeframe chart and how to apply this on any given time frame see when it comes to 30 minute time frame chart i always like to see what is the overall price structure that is in terms of higher high and higher low at times i also see the structure on 60 minute time frame because that is much more smooth in terms of trend and you can visualize and identify trend properly so once i am sure that price is in a structure of higher high and higher low then i move to something like a five minute time frame chart and look for entry opportunities and this comes in the form of two main patterns the first pattern is a horizontal sort of rectangle pattern where price moves within a resistance and support region and then has a breakout this is the first pattern i target and the second pattern is a rounding bottom pattern at times this is also accompanied with one more rounding uh sort of bottom pattern you can also call this as cup and handle breakout or simply two rounding bottoms that form on 30 minute time frame chart so entry you can easily identify on a five minute time frame chart so if you look this is the same uh time date that is between february and february 8th so this is the february 5th and february 8th time zone here so whenever price in this particular case is clearly trending higher i use these opportunities on five minute time frame chart to accumulate so what i basically do and that is something that will also play out in the live module i'm always looking for price to fall on a five minute time frame chart and then some sort of bullish confirmation this bullish confirmation is important because this again tells you that on 30 minute time frame chart the trend is up and on five minute trend is again trying to align with the 30 minute timeframe chart so in this particular case the gap that happened after the pullback completed this is a bullish confirmation so i hope you get the rough idea about how i structure trades with the help of both 30 minute and 5 minute time frame and the reason why i have my charts this way that is 30 minute on left side and five minute on right side so that at any given point of time i can always refer to the 30 minute timeframe trend and i don't take entry that is counter trend when price is moving lower i don't try to short sell because on a 30 minute timeframe chart the trend is up so i want the trend to be up on 30 minute and trend to be again upon 5 minute that is when i go ahead and initiate a trade so before we move forward please note that there are over 200 free videos available on this channel for you to learn trading and investing just go to the link here i'll make sure the link is easily visible also when you click on the playlist each and every video has been organized in a playlist so that you can learn in a proper sequence take notes and get better at trading and investing and make sure you have clicked the subscribe button and the bell icon this is the only way you will get notified when a new video is released on this channel and if you think our videos deliver value to you please consider hitting the like button because it really helps out our channel so let us now come to this uh segment here this is again 30 minute and five minute this particular example is the first variation that is the first pattern that we discussed price is clearly in a range within a trending structure higher high and higher low of nifty bank 30 minute time frame chart you take an entry on five minute time frame chart now if you simply trade based on five minute time frame and remember this is a lower time frame for entry and exit higher time frame is for trend analysis that is why this higher time frame can be 60 minute in this case lower time frame will be 15 minute if you're a swing trader this can be daily time frame then lower time frame will be 60 minutes i hope you understand how you can substitute time frames trading based on one time frame this entire price action here of price moving lower with volume this will actually cause you to exit any long positions that you have but if you keep in mind what is going on on a 30 minute time frame chart this actually is nothing but price moving in a very broad range that is defined on a 30 minute time frame chart so that is the difference of tracking two time frames together because uh if someone is tracking only five minute time frame he will be more inclined to shot here whereas if someone is tracking what is going on on five minute timeframe chart with respect to what is going on on 30 minute time frame chart then this breakout is actually a buy opportunity which is actually playing out here so this is the advantage of combining two time frames together with the help of simple price action and volume and you can repeat this on any given time frame combinations that i explained because the underlying principles of price and volume does not change and the second variation is of a rounding bottom so this is what we are going to discuss in the live module i'll now let the live module play this was uh uh done today that is on friday that is when it was recorded so just watch that section completely then you'll understand the second variation playing out and either next week or the week after that i'll also record the first variation the market is open about 1 20 in the afternoon and today a nifty bank is at 33 800. i just explain a few things with respect to 30 minute timeframe chart this is a 30 minute timeframe chart with price at 33 797 we are simply going to move higher more today and i just want to explain how i trade 30 minute time frame structures so the first thing i like to do is on 30 minute time frame charts i like to mark out the wide range candles that are visible on the downside or on the upside so if we begin from 24th 25th march these were the couple of candles that took the price down this is where we get a strong sort of wide range candle on the upside one more attempt of bearish candle here price could not move lower next day we consolidated this is the session that i recorded live and after that again we have got couple of wide range bearish candles on the downside take a look at volumes here if subtitles are blocking just turn off the subtitles again despite of the fact that we've had some couple of strong bearish rejections at higher level prices still not move lower in fact if i remove all these markings and i take you to these two candles that are currently developing this candle here and with this volume and the current candle that is developing prices at 33 785 just keep a tab here because we are just going to head higher i feel even today uh there's still about two hours left we should see higher levels in nifty bank and the developing volume here this is also on the higher side so when it comes to 30 minute structures the first thing i like to see is if there is rejection on the downside what has been the implication of the rejection had the price move lower if the price has not moved lower then i look for some evidence of price trying to move higher and that is what this is the structure you know that i want to discuss today i feel we are heading higher just because the bearish candles here even this candle here this candle here prices just failed to move lower then i look at in this particular chart if you see long tail candles again series of long tail candles here keep a tab on this price 33 765 now so as a day trader i'll be buying all this dip that comes about in the market again a long tail candle then if you see a bullish candle developing on the upside so this is just a sign that buyers are trying to take price higher and if i could just draw out a curved line here let me just try and yeah so if you take a look at this point here we are getting some rounding bottom all right and if i again take something here we are again getting some sort of rounding bottom formation here this is again a sign of short-term reversal playing out in the market i'll just remove all these markings keep our tab here 33791 now so this is just a short-term accumulation structure that is developing in the market and just on 30 minute time frame chart the way i look at trades we should be heading something here 34 179 and in terms of structure if you see will i start and buy right here just from two to three day point of view actually no i if i'm a day trader yes i'll buy all these dips prices at 33 7 60 780 now so all these dips i'll buy because i think even for the day we'll at least move up 100 points from here but i have more conviction in terms of little short-term trading so that is why what i would do i would first mark out a pivot here and then i will mark out a pivot here so for those of you who are channel members please note that tomorrow i'll be doing a video on the structure update of the market along with sectors and stock and i'll also be talking a lot about mid cap stock trading with respect to relative strength so please keep your notifications on the link will be released in the community section and for those of you who are not channel members you can just join channel membership for one month and watch all the 51 videos in price and volume analysis series so these videos are spread out across five main playlists the first series is about price volume analysis the second series is about application of price and volume analysis third series is about detailed rule on pullback trading fourth series is about pivot range and poc analysis within this anchor v-app is also covered and the fifth series is an ongoing series on gap trading why these points are important because if you look at the overall structure of nifty bank it is still forming a structure of lower high and lower low so this is lower high here then again some pullback then again price is moving lower then again a pullback and again now we've seen price has made a new low so price is still in a structure of lower high and lower low so even though i can see that there is some sort of buying happening at lower level i usually don't go and pick out the trades just yet the main reason being that if my assessment over the extreme short term is wrong we can have something like this again so why do you want to risk when you know the structure is still lower high and lower low on a 30 minute time frame chart if you're looking to buy into any stock if you're looking to buy index futures that is for those of you who have some bit of experience always wait for a structure of higher high and higher load form so where will be the structure of higher high and higher low in nifty bank above this point here this is the first relevant pivot that i'll identify and more importantly i would want nifty bank to move above this level so this is how i trade on a 30 minute timeframe chart first i try and identify some sort of signs of reversal that come in the market once i'm convinced about some signs of reversal that have come in then i wait for confirmation so the way i would structure trades here suppose i want to buy something like 50 lots okay i'll just take it as an example if i have to buy something like 50 lots currently uh at 33 768 i'll punch in something like 20 that is 10 lots i'll buy at current market price so this will be at current market price then remaining 30 lots i would buy above 34 179 so this will be above 34.719 i won't buy 30 lots because you know there it is still not a major pivot level and then the remaining 20 lots i'll scale in at 34461 so this is how i would structure the trade so we're seeing some rejection but this is fine because what i'm explaining here is from little short-term trading point of view so within a 30-minute timeframe chart this is the most important thing that you have to see first in terms of structure so we have seen that structure is still that of lower high and lower low then the second thing i like to see is whether there is some evidence of buying coming in which i feel definitely is going on in nifty bank it is just that price is still not given confirmation and the third step is obviously what i discussed in terms of confirmation that is price needs to go up below this pivot here and more importantly above this pivot here so the three steps that i usually track one is the structure of current price 60 minute then some evidence of demand and then third point is confirmation this is a three-step sort of process i follow in case i want to trade a 30-minute chart just from one to two-day kind of uh you know trading so i'll remove this here and i'll put this thing here so this this is the three-step process that i follow so with price at 33 746 with major pivot at 33 34 191 and more importantly 34 461 i'll pick up something like 10 percent here or rather 20 percent here and then two equal scalenes i will do at 34 179 and 34 461 this is how i like to structure the trade in terms of overall market if you see it's not a surprise that look at metal index it is just you know flying away even when we were discussing something about ambuja and uh grasim this is what i was explaining that metal index is is the strongest index and uh there were a few structures that i had updated of course that was only in the community section but even in the ambuja and grasim video i had given out um you know stocks in the metal index you should be tracking because metal is exceptionally strong along with something like nifty i t i t is just up 0.6 percent today that is fine but in general i t is uh in its own it moves at its own pace so that will do well some rejection coming in nifty bank that is fine just for the day but i definitely feel we are heading higher in nifty bank and if i get a breakout above this and this level that is on monday tuesday i'll definitely go in for a short term trade for the time being i'm just patiently waiting for an opportunity again as a day trader i'll be buying into all these dips this is nothing but a dip happening on five minute time frame chart let me just cover that in a couple of minutes so as a day trader can you see here we've had a vertical move so there is some sort of consolidation that can definitely happen and that consolidation use usually comes about at the previous breakout level so something like this even something like this so if i get a dip to 33 675 33 634 for day trading purpose this becomes an excellent risk reward opportunity because price will come here then i'll wait for some sort of confirmation and then it goes up like this that is how price usually moves higher so that is with respect to five minute time frame chart on 30 minute time frame chart if you now come i'll just remove all these arrows here so in 30 minute time frame chart these are the only two major pivot levels that i'll be tracking so with price at 33 7 2 3 our time is at 1 32 pm in the afternoon what i'll do is i'll again before the market ends i'll again record one segment just to check the overall structure i'm just not worried about what is going on these are all a sort of intraday dip just to accumulate all this should be used to accumulate and buy into nifty bank because we are heading higher if not today then definitely on monday tuesday we are going to take out this first pivot level here and then even the pivot level here so risk reward is really really good of course before the market uh closes i'll definitely update a few things i'm just tracking this on a five minute timeframe chart and the structure on a 30 minute timeframe chart so basically i'm just showing you the application of 30 minute and five minute time frame together so i'll again check back in some time guys and i'll try and record some 10-15 minutes segment so that you can understand and there is some continuity so welcome back guys it's 2 26 in the afternoon and look at the movement that is coming in nifty bank so nifty bank has precisely moved to this level here which was the first relevant pivot that we were marking out and if you go down to something like a five minute time frame chart i'll just take you to five minute time frame chart these were the two demand zones that we discussed and i was telling you this is nothing but a buying opportunity buy on dips for a day trader and there you go this is this is about a 420 point move that is coming in just 60 minutes so this is what happens when you can learn to relate price action as and when you know market is open uh we did not do anything uh complex here it was just simple price action analysis that i uh showed in terms of long tail candles in terms of these strong rejections at lower level inability of price to move lower despite wide range candles on the downside and then volume expansion coming in so with respect to what we were discussing in position sizing above this again um i'll be taking up 20 lots and above this high point the remaining 20 lots it was just an example i just wanted to show you how i position size based on of the pivot levels that are marked on a 30 minute timeframe chart see the thing is on five minute if you see whenever you'll see such rejection candles forming uh you'll sort of start extrapolating that price will now start moving lower and this is where a lot of people exit their positions but this is nothing but shakeout that forms on the chart for example if you look at this scandal here again a long tail wide range candle if it closes negatively that's just one candle and within the overall chart context price is now forming a structure of higher high and higher low so you should not be worried about such candles forming on the chart and for those of you who have now seen my anker revap video so price at least on a 30 minute time frame chart above this level will be forming a structure of higher high and higher low and once it does that you can then use this particular point as a valid anchor vap level for you know identifying some sort of support in the very short term that is what we discussed in the anchor revamp video and you know these are very basic things that work really well in the market the thing about short-term trading is that you need to get in the mindset of being positive and more importantly you need to identify such things as these develop in real time why it gets difficult it gets difficult because of two main reasons number one you're not practicing enough and number two you're hearing all these opinions that technical analysis chart patterns these short-term trading structures trading in general just does not work this is all false maybe it does not work for the person who's telling you that trading etc or chart patterns does not work but as a trader you need to develop a mindset of practicing yourself and then deciding whether these things work for you or not shown you many times that these simple things work really really well in the market stop believing in the notion that these things don't work and these things only work in hindsight that is just not true it's just about identifying what the price is doing it's about chart analysis skill of course it will take some time now for example i was showing you something about uh rounding bottom i'll just remove all this mark all these marking here now i see one larger pattern also forming in nifty bank in that pattern i'll mark something like this now i know the standard technical analysis textbook tells you that cup and handle pattern only forms you should only look at cup and handle pattern when prices in an established trend but at times you even get such cup and handle variations where price has fallen a lot and then price refuses to move lower forms a valid sort of a resistance region that is here and then it forms a cup and handle pattern so this is a larger pattern that is forming in nifty bank on 30 minute time frame chart as soon as this particular rejection level goes this is where you know the pattern becomes active and if you want to become more sure about it mark something like this so before we move forward an important announcement these are the only two channels that are associated with our youtube channel please be aware of all the fake telegram channels that are using name very similar to ours and please check the spelling before joining the telegram channels so it's just about how frequently you look at charts how frequently you can identify these structures because these structures keep forming on on regular basis and whether it is short term whether it is swing whether it is uh any form of trading these patterns you can easily identify it's only a matter of practice and then uh you know as a price structure develops you can take a call now for example despite of the fact that for the time being i am right that price is heading higher i am not going to immediately go and scale in the main reason being that still this pivot point has not been taken out by nifty bank yes my opinion has been proven right in this segment here but i want a breakout here and a breakout here that is when i'll go and scale in if if this does not come about i've already got handsome risk and reward based on the 10 uh 20 initial positions that i took up at 33 700 so that's almost about 400 point gain with hardly a stop loss of what something like 300 points so for the day that is completely fine but it is all about staying in the now not running ahead of yourself if i just preempt that this breakout is going to happen it is entirely possible that on monday or tuesday you know we can do something like this that is why you need for a proper confirmation on the chart you need a proper breakout to happen with volumes that is when you can go ahead and scale in your positions that is the uh sort of rule that i follow on consistent basis i never preempt any trade in the market i wait for a breakout and then simple volume will confirm that breakout so it's a 2 32 now i have to get back to my terminal it's uh going to be a long weekend so i need to manage a few positions i do watch these remaining videos of live module where you will understand more about price action trading i've done about 50 odd videos and all of those videos are free so thanks a lot for watching this video guys kindly consider hitting the like button and do consider sharing this video if you find the content useful have a great weekend ahead take care and be safe

2021-04-03 20:19

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