DAILY VS. WEEKLY CHARTS

riley

I am new to this service....I was wondering if anyone has studies on whether trading with daily charts or weekly charts produce the greatest gains/loses using basically the same indicators....

edit Gord: Hi Riley just saw your post and thought it would get more attention if I moved it to the using TA section.

Kevo

Hi,

A post with the very same topic can be found here: Weekly vs. Daily Charts.

Hopefully that post will help some.

The term "Period" also means scale.
The term "Time Frame" means Time Horizon (1 month, 3 months, 1 year, etc.)

People also use "Time Frame" to refer to period. You will have to determine what the term means depending on the context it is used in.

markd

I don't know of a conclusive study, but I think it's a rule of thumb that the longer the time frame, the fewer the signals, but the more reliable and easier to see. The problem is the entry and exit tend to be late, and the stop (if you use them) needs to be wider (because price generally moves a wider distance the longer the time frame), so you get a smaller portion of the total move. The advantage is you tend not to get shaken out by what turn out to be minor moves, so if a good trend is in place you will ride it for quite a while.

In general, you will probably end up choosing time frame based on your temperament - how often do you need to trade, how long can you wait to take profits, how much attention do you want to give to the market. If you are super patient, a weekly time frame is good. If you need action daily, you want at least a daily time frame, or maybe hourly to five or ten minutes.

tochurch

this is easy to answer,trade the weekly because the daily is fickle.You may have fewer signals on the weekly,but they are more powerful,the best signals come from the monthly.what the monthly says is that a lot of resistance is gone and its ready to climb to higher places.The monthly,the first three candles are the daily's ,the next group is the weekly's say set at three to 5 years and the rest are monthly's candles.the only trouble with the monthly is not for the faint of heart.you have to understand how to get there playing the chart.

daniel_fromcebu

I use the Weekly and Monthly for the Trend of the stock and use the daily or hourly for confirmation to trade.

GoOptionsPro

Good reads all of them