Why look at the 4-hour, 1-hour, and 15-minute Candlestick?

Many people in the cryptocurrency world repeatedly fall into traps because they only focus on one cycle.
Today I will talk about my commonly used multi-period Candlestick trading method, which consists of three simple steps: grasping the direction, finding the points, and timing.

1. 4-hour Candlestick: Determines your overall direction for going long or short.
This period is long enough to filter out short-term noise and clearly see the trend:
•Uptrend: Higher highs and higher lows → Buy on dips
•Downtrend: Highs and lows decrease simultaneously → Short on rebounds
• Consolidation: The price fluctuates within a range, making it easy to get caught on both sides; frequent trading is not recommended.

Remember one thing: following the trend increases your winning rate, while going against the trend only hands out money.

2. 1-hour Candlestick: Used to delineate ranges and find key levels.
Once the major trend is determined, the 1-hour chart can help you find support/resistance:
• Near trend lines, moving averages, and previous lows are potential entry points.
• Approaching previous highs, important resistance, and the emergence of top patterns means it's time to consider taking profits or reducing positions.

3. 15-minute Candlestick: Only perform the final "gun action".
This cycle is specifically used to find entry opportunities, not to observe trends:
• Wait for key price levels to show small cycle reversal signals (engulfing, bottom divergence, golden cross) before taking action.
• The trading volume needs to be released for a breakout to be reliable; otherwise, it is easy to have false moves.

How to combine multiple timeframes?
1. Determine the direction first: Use the 4-hour chart to decide whether to go long or short.
2. Find the entry zone: Use the 1-hour chart to identify support or resistance areas.
3. Precise entry: Use the 15-minute chart to find the signal for the final push.

A few additional points:
•If there are conflicting directions across several periods, it is better to stay out of the market and observe, rather than taking uncertain positions.
• Short-term fluctuations are fast, always set a stop-loss to prevent being repeatedly stopped out.
• The combination of trend + position + timing is much better than blindly guessing while staring at the chart.

This multi-timeframe Candlestick method, which I have used for over 5 years, is a stable output basic configuration. Whether you can use it well depends on whether you are willing to look at charts more and summarize more.