By Brian Shannon Technical Analysis Using Multiple Link
In his acclaimed book Technical Analysis Using Multiple Timeframes , Brian Shannon, CMT
The information provided in this blog post is for educational purposes only and should not be considered as investment advice. Always do your own research and consult with a financial advisor before making any investment decisions. by brian shannon technical analysis using multiple link
focuses on the integration of various time horizons to develop a comprehensive market perspective. By combining macro trends with micro execution details and utilizing tools like the Anchored VWAP, this approach seeks to provide a structured way to observe price action and volume. The core of this philosophy lies in the objective analysis of market structure and the importance of disciplined risk management across all timeframes. This framework remains a significant contribution to the field of technical analysis, offering a systematic way to interpret the continuous flow of market data. In his acclaimed book Technical Analysis Using Multiple
- The Monthly link holds the structural trend.
- The Weekly link defines the primary trend direction.
- The Daily link shows the tradable cycle.
- The 4-hour or 1-hour link pinpoints the entry zone.
- The 15-minute link executes the trigger.
- He looks for rejection wicks (signs that price tried to go a direction and failed).
- He looks for consolidation (a balance of supply and demand) followed by a breakout.
- Short-term (15-minute or 1-hour chart)
- Medium-term (daily or 4-hour chart)
- Long-term (weekly or monthly chart)
The Philosophy of Brian Shannon: Top-Down Analysis
Before we discuss the "link," we must understand the core philosophy. Most novice traders look at a single chart—usually a 15-minute or 1-hour chart—and make a decision. Brian Shannon argues that this is like looking at a forest through a soda straw. The Monthly link holds the structural trend