Technical Analysis Using Multiple Timeframes Brian Shannon Hot!

Think of it like a store. The "macro" environment (the economy, the sector) determines how many customers are walking into the mall. The "micro" environment (the specific store setup) determines if those customers actually buy anything. As Shannon puts it:

Drop down to the 65-minute chart. Suppose the stock has recently pulled back from a local peak. Look for the pullback to stabilize. You want to see the 65-minute chart begin to form a minor "higher low" or a short-term consolidation pattern right around the area of the daily 20-day moving average. Step 3: Find the Trigger on the 5-Minute Chart

Deliverables for implementation

Looking at too many timeframes (e.g., 1-min, 5-min, 15-min, 30-min, 1-hour, 4-hour, daily, weekly) will cause conflicting signals. Stick to three distinct tiers.

Goal: Add a multi-timeframe technical-analysis tool inspired by Brian Shannon’s approach (layered trend structure, high-probability trade selection, ATR-based stops, and market structure). technical analysis using multiple timeframes brian shannon

Building on his foundational work, Shannon wrote a second book, which extends the VWAP concept into a powerful tool for measuring sentiment relative to specific market events .

This is the primary buying zone. You want to buy breakouts or pullbacks to key moving averages. 3. Stage 3: Distribution (The Top) Think of it like a store

Shannon’s central insight is this: To see the full picture, you need to examine it from multiple viewpoints simultaneously.

Shannon is also known for a clever technical hack that demonstrates his obsessive attention to detail. Most traders use standard 60‑minute candles, but Shannon noticed that the first hour of the trading day is a 30‑minute period. This creates "apples to oranges" comparisons. To solve this, he divides the day’s 390 minutes of trading into six equal periods of . This allows every candle to represent the exact same time increment, ensuring that indicators like moving averages are not overweighting an incomplete 30‑minute block. It’s a small adjustment with a massive impact on mathematical consistency. As Shannon puts it: Drop down to the 65-minute chart