Long-term charts (weekly/daily) tell you the direction of the trend.
: Use Daily charts to identify the current market cycle stage (Accumulation, Markup, Distribution, or Markdown). Long-term charts (weekly/daily) tell you the direction of
Shannon addresses this by teaching that no trader is purely bullish or bearish in a vacuum. He famously stated, "My first book is 'Technical Analysis Using Multiple Timeframes' and that really allows you to look at what you're looking at on the screen is recognizing that people say are you bullish or bearish, but it depends". He explains that short-term trends may have no consistency with the longer-term direction, and the key to profit lies in identifying the macro trend before drilling down for execution. He famously stated, "My first book is 'Technical
By combining these layers, you ensure that you never accidentally short an asset that is in a powerful daily uptrend, or buy a stock trapped in a macro bear market. The Four Market Stages The Four Market Stages Understanding this volume profile
Understanding this volume profile keeps traders from panicking during standard market fluctuations and helps them hold their winners longer. Risk Management: The Foundation of Longevity
: Increased volatility and sideways movement as "smart money" begins to exit. Stage 4: Markdown : A sustained downtrend where short positions are favoured. Timeframe Alignment