Multiple Trend and Timeframe Analysis
To use the MIDAS approach effectively for day trading and short-term swing trading, it's essential first of all to possess the prior skill of understanding trend relationships between timeframes and then of seeing how these relationships can generate signals when analyzed with MIDAS S/R curves.
Let's briefly explore these two skills, illustrating their importance briefly in Figure 3.1 with the more familiar longer-term trend lengths as they're defined in standard technical analysis textbooks:
- Secular-term trend = 10 years to as long as 25 years and constructed from a number of primary-term trends.
- Primary-term trend = nine months to two years, reflecting investors' attitudes to unfolding market fundamentals ...