Many traders find themselves in a dilemma, and the root cause is the chaotic cycles. Only by observing multiple time frames can one grasp the true pulse of the crypto market.
The multi-period trading system I want to share has been validated through more than three years of practical experience. Its core logic is simple yet efficient: use long periods to anchor direction, medium periods to locate areas, and short periods to confirm signals.
The duration of this cycle is wide enough to effectively filter out intraday noise, allowing the essence of the trend to emerge. In an upward trend, the highs and lows continue to rise; at this time, focus only on positioning during pullbacks, waiting to accumulate at low levels. In a downward trend, the highs and lows fall simultaneously; a rebound is an opportunity to reduce positions or short. If it gets stuck in a range, with prices oscillating repeatedly within a fixed box, it's best to stay still in this environment, as it can easily lead to being caught on both sides. In short: going with the big trend increases your success rate, while going against it is just burning money.
**Layer 2: Key Area Locked on 1-Hour Chart**
After establishing the direction, use a 1-hour timeframe to accurately locate support and resistance. The support zone usually gathers near trend lines, moving average positions, or around previous low points, which are potential entry coordinates; the resistance zone appears at previous high points, pattern tops, or psychological levels, where profits can be considered or partial take-profit.
**Third Layer: 15-Minute Chart Dedicated to Entry Confirmation**
The only duty of a short cycle is to execute the last step: when to pull the trigger. Don't use it to judge the main trend; that will only lead to self-inflicted trouble. Wait for a reversal signal to appear at key positions—engulfing patterns, indicator divergence, moving average golden crosses—these are all green lights to take action. But there is an important prerequisite: it must break out with volume; a rise without volume is often a trap set by the main force, and jumping in will just make you a bag holder.
**How to link the three layers?**
The process is straightforward: first look at the 4-hour chart to determine whether to go long or short, then use the 1-hour chart to define the specific range of support and resistance, and finally wait for a clear entry signal on the 15-minute chart. If the directions across the time frames conflict, the wisest choice is to stay on the sidelines; being in cash is always safer than making a wrong trade.
Two more points need to be emphasized: short-term fluctuations are frequent, and strict stop-loss measures must be implemented, otherwise the probability of being repeatedly stopped out is very high; the three dimensions of direction, position, and timing are all essential, relying only on intuition and luck will not get you far.
The power of this method lies in its systematization—it makes trading no longer a matter of luck, but a decision-making process that can be traced. Whether you can truly master it depends on your willingness to spend time reviewing past trades, identifying problems, and continuously optimizing execution.
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GateUser-3824aa38
· 6h ago
Be a bit more blunt, but it's true that most people die because they don't understand the cycle. I used to be the same.
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MoonMathMagic
· 12-23 19:46
To put it bluntly, this multi-cycle trap requires discipline; otherwise, it's still pointless.
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StablecoinAnxiety
· 12-23 19:29
You are absolutely right, the cycle confusion is indeed a big pitfall, I experienced this before.
Looking at the big direction on the 4h chart is indeed reliable, but the problem is that knowing is easy, doing is hard, and it's still easy to fall into a bull trap when executing.
Many traders find themselves in a dilemma, and the root cause is the chaotic cycles. Only by observing multiple time frames can one grasp the true pulse of the crypto market.
The multi-period trading system I want to share has been validated through more than three years of practical experience. Its core logic is simple yet efficient: use long periods to anchor direction, medium periods to locate areas, and short periods to confirm signals.
**First Layer: 4-Hour Chart Guidelines Direction**
The duration of this cycle is wide enough to effectively filter out intraday noise, allowing the essence of the trend to emerge. In an upward trend, the highs and lows continue to rise; at this time, focus only on positioning during pullbacks, waiting to accumulate at low levels. In a downward trend, the highs and lows fall simultaneously; a rebound is an opportunity to reduce positions or short. If it gets stuck in a range, with prices oscillating repeatedly within a fixed box, it's best to stay still in this environment, as it can easily lead to being caught on both sides. In short: going with the big trend increases your success rate, while going against it is just burning money.
**Layer 2: Key Area Locked on 1-Hour Chart**
After establishing the direction, use a 1-hour timeframe to accurately locate support and resistance. The support zone usually gathers near trend lines, moving average positions, or around previous low points, which are potential entry coordinates; the resistance zone appears at previous high points, pattern tops, or psychological levels, where profits can be considered or partial take-profit.
**Third Layer: 15-Minute Chart Dedicated to Entry Confirmation**
The only duty of a short cycle is to execute the last step: when to pull the trigger. Don't use it to judge the main trend; that will only lead to self-inflicted trouble. Wait for a reversal signal to appear at key positions—engulfing patterns, indicator divergence, moving average golden crosses—these are all green lights to take action. But there is an important prerequisite: it must break out with volume; a rise without volume is often a trap set by the main force, and jumping in will just make you a bag holder.
**How to link the three layers?**
The process is straightforward: first look at the 4-hour chart to determine whether to go long or short, then use the 1-hour chart to define the specific range of support and resistance, and finally wait for a clear entry signal on the 15-minute chart. If the directions across the time frames conflict, the wisest choice is to stay on the sidelines; being in cash is always safer than making a wrong trade.
Two more points need to be emphasized: short-term fluctuations are frequent, and strict stop-loss measures must be implemented, otherwise the probability of being repeatedly stopped out is very high; the three dimensions of direction, position, and timing are all essential, relying only on intuition and luck will not get you far.
The power of this method lies in its systematization—it makes trading no longer a matter of luck, but a decision-making process that can be traced. Whether you can truly master it depends on your willingness to spend time reviewing past trades, identifying problems, and continuously optimizing execution.