From previous articles, it is clear that I use a Trading System. My trading system is not automatic, I place orders manually in the broker’s platform. I analyze the market with a multi-monitor workstation that allows me to study different time frames simultaneously.
Multiday Trading is characterized by long and medium duration operations. The Intraday Trading is characterized by open and closed operations in the same day. It avoids the risk of gap openings that is present when you stay in position overnight.
It is widely believed that the intraday trader should only analyze the charts of time frames lower than daily. This, in my opinion, is a big mistake.
As far as market analysis is concerned, I do not see any difference between multiday and intraday. It is essential to study long, medium and short term charts in the order to determine the market trend and the respective trading points.
The intraday time frames can, during the session, produce other operative points but not upset the trend determined by the multiday ones.
I believe that the Multiday and Intraday Trading are two sides of the same coin in the sense that the application of one or the other depends only on the phase of the market. For example, if a daily bar breaks an important level, following the trend of the greater periods, with increase of Strength, Directionality and Volatility I assume a multiday position. In a phase of congestion I only operate intraday.