Use minute charts for entering trades

Working with charts requires skill, practice and understanding what time frames are best for analyzing a given market and what time frames are best for implementing your trades. It is no secret that longer time frames are much better for analyzing trends, spotting market direction and sometimes for entering trades if one is a long term investor.

Small time frames, on the other hand are good for entering trades. Long term charts give you a bigger picture and make you aware of current market conditions. Small time frames (15, 5 and 1 minute chart) help you to find exact levels where you have to enter your trades, place stops and take profit targets.

Most of day traders use 15 minute chart for entering their trades and those who scalp use 15 minute charts for analysis and 5 as well as 1 minute charts for entering the market.

So, if you want to have a bigger picture work with weekly, daily and hourly charts and when you know market conditions and direction use smaller time frames to enter your trades. This will increase your sharpness for both market direction and understanding of where the market is going to reverse as well as where exactly to place your trades.