Shannon emphasizes that "only price pays." He cautions against getting married to a fundamental story or an indicator if the price action contradicts it. His rules for execution are strict:
Price chops sideways; volatility contracts; volume dries up. Moving Averages: The 200-day moving average flattens out.
What is the precise moment to enter to ensure the tightest possible stop-loss?
To find high-probability trade entries, execute this systematic sequence across your charting horizons. 1. Establish the Anchor Trend Open the daily chart. Identify if the asset is in a Stage 2 uptrend. Shannon emphasizes that "only price pays
+--------------------------------------------------+ | STAGE 1: ACCUMULATION | | Price moves sideways. Baselines form. | +--------------------------------------------------+ | v +--------------------------------------------------+ | STAGE 2: MARKUP | | Higher highs and higher lows. Bullish trend. | +--------------------------------------------------+ | v +--------------------------------------------------+ | STAGE 3: DISTRIBUTION | | Price tops out. Heavy selling resistance. | +--------------------------------------------------+ | v +--------------------------------------------------+ | STAGE 4: MARKDOWN | | Lower highs and lower lows. Bearish trend. | +--------------------------------------------------+ 1. Trend Alignment
If you’d like, I can:
Brian Shannon continues to provide daily market analysis and educational content through Alphatrends , where he shares his framework for swing trading in real-time. Amazon.com: Technical Analysis Using Multiple Timeframes What is the precise moment to enter to
Technical Analysis Using Multiple Timeframes offers a roadmap that has helped countless traders build a disciplined, probabilistic approach to the markets. For a book that prioritizes practical, applicable tactics over abstract theories, it has stood the test of time for good reason.
Rather than using dozens of indicators, focus on a few key moving averages to judge trend health:
Shannon typically utilizes a 3-5 timeframe approach simultaneously to ensure the market context is understood: Establish the Anchor Trend Open the daily chart
Price breaks out and trends higher; the best time to buy.
Avoid aggressive long or short positions. Wait for a definitive breakout. Stage 2: Advancing Phase (The Uptrend)
Understanding Multiple Time Frame Analysis: The Brian Shannon Methodology
Higher highs and higher lows; strong volume on up-days.
Set stop-losses based on structural levels, not arbitrary percentages.
