Last night I translated my latest one-minute setup to a five-minute context, and when I opened my charts this morning, was profoundly struck by the clarity I felt I was viewing (not pictured). Scripture warns against making the mistake of thinking “my power and the might of my hand have gotten me this wealth,” so as I make plans to use whatever insights I’ve gained in the last six months to once again begin trading a live account, I am cognizant of the wisdom of not being too impressed with myself, and I also recognize that whenever I suspected I had arrived at a final configuration in the past, my suspicion turned out of be false. Nonetheless, what I saw this morning convinced me that it is impossible—for me at least—to trade with maximum precision using anything greater than a five-minute chart. I think I’ve written in the past that I conceive of the way I arrived at my approach to trading as tantamount to running thousands of computer models to compare how closely each of a wide variety of moving averages came to reflecting price’s ultimate destination—singling out the one best moving average for correctly discerning where price is going with respect to a specified time frame...and there’s just no two ways about it! If I want to see where price is initiating a short-term reversal, I need to be looking at a five-minute chart at the most. I'm hoping that doing so while simultaneously noting the longer-term trends will allow me to set relatively tight stops, and in turn, improve my thus far feeble reward-to-risk ratios.
It's all about probability, on 1minute our algos find one trade per week, but it takes minimum 50-100 bars to setup hence the single trade. On 1sscond bars they find around one per day, the longer it takes to setup the more reliable the move. The reason you will find it tiring is your brain is trying to pattern analyse low probability setups, and that's stressful. Using the same setup you will need to move to hourly or above, or you need to widen your pattern, there is very litlle in between.
%% Another reason; some noise is not fun. Market makers do well but on much smaller time frames than 1 min. Like Monthly candle chart$ myself, good trends........