Disconnected levels... Advanced trading theory (Part 1/2)

C0TT0NC4NDYTA2023-10-06

3K views|9 months ago

💫 Short Summary

In the video "Connected and Disconnected Ranges/Levels Explained," the speaker discusses the importance of understanding connected and disconnected levels in trading. Connected levels mean that every timeframe stays connected to the previous timeframe, while disconnected levels indicate a breakdown in the timeframes. The speaker emphasizes the significance of these concepts in identifying combo levels and navigating different timeframes in trading.

✨ Highlights

📊 Transcript

✦

To become a better trader, it's important to understand connected and disconnected ranges or levels.

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Disconnected levels occur when there's a breakdown in the time frames, while connected levels means that every time frame transition stays connected to the previous time frames.

For example, when looking for combo levels, starting with a 4-hour level and moving down to 1-minute level should result in finding every single level, maintaining connected time frames.

If a time frame is skipped in between levels, it becomes disconnected, for example, having a 4-hour level, then a 1-hour level, and then a 5-minute level with no 15-minute level in between.

💫 FAQs about This YouTube Video

1. What are connected and disconnected ranges in trading?

Connected and disconnected ranges in trading refer to the relationship between different time frames. Connected levels means that every timeframe low still stays connected to the previous timeframe low, while disconnected levels means there is a breakdown in the timeframes.

2. Why is it important to understand connected and disconnected ranges in trading?

Understanding connected and disconnected ranges in trading is important for identifying levels and making trading decisions based on the relationship between different timeframes. It allows traders to effectively analyze the market and find trading opportunities.

3. How can traders use connected and disconnected ranges to identify trading levels?

Traders can use connected and disconnected ranges to identify trading levels by analyzing the relationship between different time frames. By finding connected levels, traders can establish support and resistance levels to inform their trading strategies.

4. What is the significance of finding connected time frames in trading?

Finding connected time frames in trading is significant because it allows traders to establish a clear and reliable hierarchy of levels to make informed trading decisions. It provides a comprehensive view of the market dynamics and potential price movements.

5. How does the concept of connected and disconnected ranges contribute to technical analysis in trading?

The concept of connected and disconnected ranges contributes to technical analysis in trading by providing insight into the continuity and stability of price levels across different timeframes. It enhances the accuracy of technical analysis and supports the identification of key trading levels.

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