Market Structure - Multi-Timeframe

23 thg 1, 2024

Pivot based channels for 8 individual time-frames. This can be used to identify the support and resistance level for different time-frames. Recommended is 1min as timeframe for the candles sticks. The direction for every pivot-channel is marked in green for bullish and red vor bearish. There exists alerts for Choch and BoS for every timeframe.

24 thg 1, 2024

Phát hành các Ghi chú

Market structure is an important concept in trading that refers to the organization and behavior of prices in a market. Here I explain the concepts of HH (Higher Highs), HL (Higher Lows), LH (Lower Highs) and LL (Lower Lows) and how they relate to Change of Character and Break of Structure, particularly in the context of Support and Resistance.

Higher Highs (HH) and Higher Lows (HL):

Higher High (HH): An HH occurs when the current high is higher than the previous high.
Higher Low (HL): A HL occurs when the current low point is higher than the previous low point.
These patterns indicate an uptrend. On different timeframes, HH and HL indicate continued buyer strength and can be viewed as confirmation of an existing trend. They are often associated with an intact support structure as the market tends to stabilize at higher levels.

Lower Highs (LH) and Lower Lows (LL):

Lower High (LH): An LH occurs when the current high is lower than the previous high.
Lower Low (LL): An LL occurs when the current low point is lower than the previous low point.
These patterns indicate a downward trend. LH and LL indicate continued weakness from buyers and can be viewed as confirmation of an existing downtrend. They are often associated with an intact resistance structure as the market tends to stabilize at lower levels.

Change of Character (CoC):

A change of character occurs when the market moves from a prevailing trend to a sideways movement or a new trend. This could be indicated by the appearance of HLs after HHs (or vice versa), indicating a possible change in market sentiment.
Break of Structure (BoS):

A break of structure occurs when the market breaks through a key support or resistance level. This could signal a trend reversal or the continuation of an existing trend.
Connection to support and resistance:

Support and resistance are crucial concepts in market structure. Support refers to price levels where demand is strong enough to prevent a decline. Resistance refers to price levels where supply is strong enough to prevent an increase.
HH and HL can serve as confirmation of support, while LH and LL can be associated with resistance.
Change of Character and Break of Structure can be directly related to Support and Resistance. A BoS below support could indicate weakness, while a BoS above resistance could indicate possible strength.
Overall, these concepts help traders understand market structure and make trading decisions based on trend confirmations, trend reversals, and key levels of support and resistance.


The script shows the following:

- Support and resistance lines for 8 different timeframes
- Trend direction for every timeframe individual
- Break of structure (BoS)
- Change of character (ChoCh)
- Alerts for Bos and ChoCh

24 thg 1, 2024

Phát hành các Ghi chú

Add line-width for every timeframe