Brian Shannon — Technical Analysis Using Multiple Timeframes

Most traders are linear thinkers. They look at a daily chart and see an uptrend, so they buy. Brian Shannon argues that this is like navigating a cross-country road trip using only a satellite image of the Earth. It gives you the big picture but misses the potholes, gas stations, and traffic jams.

Shannon’s philosophy is rooted in Dow Theory but modernized for the high-speed electronic markets of the 21st century.

He famously states that price movement is fractal. What you see on the weekly chart is the tide. What you see on the daily chart is the wave. What you see on the hourly chart is the ripple. technical analysis using multiple timeframes brian shannon

Without analyzing all three, you will either sell too early (fighting the tide) or buy too late (chasing the ripple).

To trade like Brian Shannon, run your next trade through this filter: Most traders are linear thinkers

By answering "Yes" to all four, you move from gambling to trading with a statistical edge.

Disclaimer: This article is for educational purposes only and summarizes the teachings of Brian Shannon. It does not constitute financial advice. Without analyzing all three, you will either sell

If you are losing consistently, your timeframe is wrong.