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Higher-Timeframe Level, Lower-Timeframe Triggerthe level is the edge; the trigger is the discount

Evidence: ModerateIntermediateMulti-timeframe · Level

A stripped-down version of the previous page, and in some ways a more honest one. There is no trend filter at all. There is a level that many people can see on a slow chart, and there is a fast chart used only to enter near it with a small stop.

It works for the same reason the whole breakout book works — orders rest at visible levels. What the lower timeframe adds is price, not information, and the page is built around saying exactly that.

Two timeframes are not two opinions. A daily chart and an hourly chart of the same instrument contain the same prices — the higher one is useful when it supplies something the lower one cannot see, and decorative when it only repeats it.

Category
Multi-timeframe · Level
Timeframe
D1 or W1 level · M15 trigger
Suitable pairs
Majors and gold — anywhere the daily levels are widely watched
Session
The first test inside London or New York. Asian-session tests of a daily level are usually noise.
Indicators / tools
Nothing computed on the higher timeframe — one horizontal level · ATR(14) on M15

Valid setup

MT-02 · HIGHER-TIMEFRAME LEVEL, LOWER-TIMEFRAME TRIGGER — VALID SETUP GBPJPY · M15 · a weekly level, tested once, rejected on a fifteen-minute close LONG 191.17 191.45 191.72 192.00 192.27 192.54 192.82 TP1 = 2R 1R — small, because the stop sits beyond the LEVEL TP1 = 2R, then the next weekly level ENTRY = first M15 close rejecting the level WEEKLY LEVEL — two touches, drawn from the bodies STOP = 0.8 × ATR(14) beyond the level 1 2 3 4 192.20 191.62 191.40 191.33 ① Price approaches the weekly level — nothing done yet ② It touches. Still nothing — no anticipating ③ There is no trend filter on this page at all ④ First M15 close back above the level — enter ⑤ Stop beyond the LEVEL, not beyond the candle ⑥ One attempt only. A failed rejection ends it

Exact rules

Entry

  • The level: a daily or weekly swing high or low with at least two touches. Drawn from the bodies, and never moved afterwards.
  • Wait for price to reach it. No anticipating, no orders placed in front of it.
  • Trigger: the first M15 close that rejects the level — a close back above it for support, below it for resistance.
  • One attempt per level per session. If the first rejection fails, the level is being consumed rather than defended, and the second attempt is a worse bet, not a better one.

Stop loss

  • 0.8 × ATR(14) on M15 beyond the level.
  • Beyond the level, not beyond the trigger candle. The level is the thesis; a wick through the candle is not a refutation of it.
  • Risk 0.5%–1%.

Take profit / exit

  • TP1 at 2R, half off. Move the rest to break even.
  • TP2 at the next higher-timeframe level. That is where the next set of orders is resting and where this move is most likely to stop.
  • Flat before the session ends if neither has been reached. The level will still be there tomorrow.

Build Higher-Timeframe Level, Lower-Timeframe Trigger

Reading this page is free and always will be. Taking it is what costs — the complete MQL5 for the rules above, yours to keep, permanently. Five of them cost $10 and they never expire.

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More from Multi-timeframe

Top-Down Alignmentdirection from the daily, entry from the intradayWeekly Bias, Daily Executionone decision a week, then get out of the wayTimeframe Divergencewhen the fast chart disagrees with the slow one

Trading carries risk and most retail accounts lose money. Nothing on this page is financial advice or a recommendation to trade. The chart is an illustration of the rules on constructed candles — it is not a record of a trade and not a backtest.