The Fractal Model

What You’ll Learn:

1. Using multiple timeframes (monthly, weekly, daily) in technical analysis
2. How the trading model is fractal across different timeframes
3. Key interactions between timeframes:
   
   • The 8 EMA on a higher timeframe correlates to the middle of the Bands on a lower timeframe
   • Want to buy into the 8 EMA on higher timeframes and into the Bands on lower timeframes
   • The monthly 8 EMA often aligns with the 200 EMA on the daily chart
4. Confluence of bullish factors when price is at the monthly 8 EMA, weekly Bands, and daily 200 EMA
5. Adjusting positions based on signals from different timeframes
   
   • Cutting daily swing trades on trend breaks but holding longer-term positions if monthly/weekly trend is intact
   • Adding to longer-term positions on dips to key higher timeframe support levels
6. Most bullish setup is getting a “tree of support” – holding monthly 8 EMA, weekly Bands, daily 200 EMA
7. Importance of focusing on the dominant high timeframe trend while trading around positions on lower timeframes

The key takeaway is understanding how to use multiple timeframes to inform your overall trading strategy and position management. Look for alignment between key support/resistance levels on different timeframes to find high probability entries and adjust risk.

Content Chapters