http://i43.photobucket.com/albums/e3...escalator3.gif
UPTREND RETRACEMENT
H4 is your trend. When you see any green color, it's in an uptrend. Vice versa for a downtrend.
In an uptrend, there is always some retracements.
When you see 2 red bars, 1 in the M15 block and 1 in the M30 block, that's a 30-minute retracement.
When you see 3 red bars, 1 in the M15 block, 1 in the M30 block, and 1 in the H1 block, that's an 1-hour retracement.
It's safe to short when you see 3 red bars.
UPTREND RETRACEMENT
H4 is your trend. When you see any green color, it's in an uptrend. Vice versa for a downtrend.
In an uptrend, there is always some retracements.
When you see 2 red bars, 1 in the M15 block and 1 in the M30 block, that's a 30-minute retracement.
When you see 3 red bars, 1 in the M15 block, 1 in the M30 block, and 1 in the H1 block, that's an 1-hour retracement.
It's safe to short when you see 3 red bars.