Module 6 – Timeframes & Top-Down Analysis
Great traders don’t guess direction — they confirm it across multiple layers of structure. This module teaches you how to move from “zoomed-in and lost” to “zoomed-out and in control.” You’ll learn to see what retail traders miss: alignment between Weekly, Daily, and 4H timeframes.
What You’ll Learn
- How to analyse markets from higher to lower timeframes using a professional top-down process
- How to spot trend alignment and conflict across different scales
- How to use multi-timeframe confluence for sniper-level entries
- When to zoom in — and when to walk away
1. Why Top-Down Matters
Every chart is just a zoomed-in version of another. A bullish 1-hour candle can still be part of a bearish Daily correction. If you only look at one timeframe, you’ll trade against the larger flow without realizing it.
“The higher timeframe sets the context; the lower timeframe provides the trigger.”
The goal is simple: trade with the dominant trend, not against it. Once you master this concept, many losing trades disappear by default.
2. The Three-Level Framework
2.1 Weekly – The Big Picture
- Reveals macro trend and long-term supply & demand zones
- Shows where institutional money is accumulating or distributing
- Adjust zones only once per week — this is your map, not your entry chart
2.2 Daily – The Roadmap
- Confirms structure direction from the Weekly chart
- Highlights major swing highs, lows, and liquidity areas
- Use Daily closes to define key support and resistance zones
2.3 4-Hour (or 1-Hour) – The Execution Chart
- Find precise entries using candlestick and structure confirmation
- Wait for confluence between higher-timeframe zones and lower-timeframe signals
- Define risk and reward here — this is your entry battlefield
3. Step-by-Step: The Top-Down Process
- Start on Weekly: identify trend (HH/HL or LH/LL) and mark major supply/demand zones
- Move to Daily: refine zones and observe candle reactions confirming direction
- Drop to 4H: wait for structure break or rejection aligned with higher timeframes
- Execute only when all timeframes tell the same story
This hierarchy removes emotion. You’re no longer reacting — you’re following a system.
4. Timeframe Conflicts – The Silent Account Killer
A bullish 1H setup can easily be a bearish Daily pullback. That’s how traders get trapped.
- Never trade against the higher-timeframe close
- If Weekly is bearish and Daily rejects lower, ignore lower-timeframe buys
- When timeframes disagree, stand down
You make money by waiting for clarity — not by trading confusion.
5. Entry Timing Using Top-Down Confirmation
- Identify Weekly supply or demand zone
- Wait for Daily reversal confirmation
- On 4H, confirm Break of Structure and enter on the retest
- Stop-loss beyond higher-timeframe zone
- Target the next major structure level
This process instantly filters out low-quality setups and creates professional-grade trade plans.
6. Common Mistakes to Avoid
- Trading 15-minute patterns without higher-timeframe confirmation
- Redrawing zones after every candle
- Ignoring macro structure or news context
- Chasing trades during low-liquidity hours
7. Practice Drills
Exercise 1 – Multi-Timeframe Mapping
Choose one asset. Mark Weekly trend and zones. Refine on Daily. Drop to 4H and mark aligned entry triggers.
Exercise 2 – Conflict Check
Find three failed trades from the 1H timeframe. Move up to Daily or Weekly and identify the conflict you missed.
Exercise 3 – Trade Journal Alignment
For every trade this week, record Weekly, Daily, and 4H trend direction. Track alignment versus outcome. Watch consistency improve.
8. Pro Insight
Top-down analysis isn’t flashy — it’s effective. It filters chaos, enforces patience, and aligns you with institutional flow.
“Retail trades setups. Professionals trade alignment.”
From now on, every chart starts at the top. The higher timeframe gives permission; the lower timeframe provides precision.
