TradingView lets you see short-term opportunities clearly, but only if you know what you’re looking for and what timeframes to focus on.
15.1 Timeframes: Intraday vs Multi-Day
For short-term trading, you’ll use smaller timeframes than in long-term investing:
- Day trading: 1-minute to 15-minute charts for entries, plus higher frames (1H, 4H) for context.
- Swing trading: 1H, 4H, and daily charts to capture multi-day moves.
A good practice:
- Start analysis on the daily chart to see overall trend and key levels.
- Then zoom in (4H, 1H) for entries and exits.
15.2 Simple Setups: Breakouts and Pullbacks
You don’t need fancy strategies to start; focus on simple, visual patterns:
- Breakouts
- Price has been bouncing under a resistance level.
- A breakout trade enters when price closes above that level with strong volume.
- Pullbacks to Moving Averages
- In an uptrend, price often “pulls back” to a moving average like the 20-day or 50-day and then resumes higher.
- Entries can be near the moving average with a stop just below recent swing lows.
- Support/Resistance Bounces
- Support: an area where buyers have stepped in multiple times.
- Resistance: an area where sellers have stepped in multiple times.
- Swing trades can buy near support (uptrend) or short near resistance (downtrend, more advanced).
Always define your stop-loss level (where you admit you’re wrong) and your target area (where you’ll take profits) before entering.
15.3 Using Volume and RSI for Confirmation
A couple of simple add-ons:
- Volume
- Breakouts with higher-than-average volume can be more reliable than low-volume moves.
- RSI (Relative Strength Index)
- For swing trades, you might favour:
- Buying pullbacks that bring RSI out of overbought territory in an uptrend.
- Avoiding entries when RSI is extremely overbought if your plan is to hold for only a few days.
Indicators help confirm, not decide. Price structure and risk management are still more important than any single indicator reading.
15.4 Building and Testing One Setup at a Time