Forex Trading Secret: The power of HIGHER TIME FRAME

I found a very good example to explain this.
I'll use GBPUSD, let get start with GBPUSD daily time frame

what is in your mind when you saw this?
most of you may said the pair has a down trend.
yes you were right. After that you will set up your trading and find sell signal

next, let see GBPUSD price movement at weekly time frame

wow, it give you the same conclusion, but wait a second.
let see monthly time frame

can you see something?
i'll make it more clearly with this chart

is that clear?
no?
i'm talking about price level in a higher time frame. It's all about support and resistance.
here we go:
when you evaluate currency, the first thing you need in your chart isn't the indicator's. You should mapping the currency by adding one or more price level, it can be support or resistance (3 rule to draw support and resistance level).
This level become your potential entry spot. With this level you can make your own trading plan.

So what happen to the GBPUSD:
THE PAIR now around the support level. Look at the chart below

The pair test the support level in 2001, 2009 (you can move your chart to the left to see it) and now in 2016 the pairs retest it once more.

I believe that GBPUSD will rejected to break this support. So after touching it, GBPUSD will rice again like what happen in 2001 and 2009. But we should wait for a confirmation that the market respect this level.

Friday, 4 Marc 2016, again , GBPUSD denied to go down further. The result is buy signal for GBPUSD

it doesn't mean that my analysis was 100 percent right. We buy now, but if the pair break the support, i will open sell. Only a very bad news will make it happen.

I use MARS trading strategy.
MARS use weekly time frame to analyze and entry the trade

enjoy your trade!