medium · Volume Price Analysis
How does the 'Three-Lane Highway' analogy assist in Multiple Time Frame (MTF) confirmation?
- It requires the trader to ignore the lower time frame if the higher time frame is in a congestion zone.
- It mandates that volume must be identical across all three time frames before a trade is taken.
- It equates the fast lane (lower TF) to early signals and the slow lane (higher TF) to the dominant trend context.
- It suggests that the middle time frame is the only one that determines trade direction.
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