hi Linkon
just food fr thought frm my side....
why restrict urself to a 'time frame' ie.. why say that I would trade only 30min or hourly chart... mkt is continuous...we devide it into tfs and charts...
there r only two things happening in the mkt at any given point in time..either it is trending or it is rangebound...if ur system is such that it profits in a trending mkts...just wait fr the time when u see the scale tipped towards a 'trending' mkt.., and take ur entry, forget about the tfs...all u need is a daily chart...
another point...(if ur system is such that it does profit in a trending mkt.) why think of targets at all...let it come back and take u out..
regards
in essence a continuous series of data is broken into slabs to identify trend. Bigger the slab, lesser the distortion, poorer the trade location, wider the sl, bigger the profit target...
Point of debate is... smaller tf vrs higher tf.... trend changes in smaller tf first and then works its way up to higher tf. But this change is accompanied with lots of noise. The fakes are hard to distinguish from the genuine trend changers.
Another point in favour of higher tf is that it looks at the bigger picture, consolidation is more in smaller tf then higher ones. while 5 min tf might give us the trading range of 20 points, a 30 min tf might give us a range of 120. what is a clean break out on 5 min tf is just part of the range in 30 min...
Like at the end of friday session, 30 min remains in hold short with sl at 5926, while 5 min says clear hold long with 5833 as stop loss. ab mummy ki suno ya tummy ki....