How to Trade with Multi-time frame analysis

 You must have heard about the "Top-Down" approach in trading. It is basically a trading style where you analyze the higher time frame charts and then move on towards the lower time frames before finally executing a trade. 
It helps in making sure that the trade which we are taking, has more probability of moving towards our desired way. 

For swing trading, i generally use the top-down approach of moving from the monthly chart, all the way down to the daily chart. 

Let's check it out with the help of an example. 

This is the monthly chart of PNB-

 The first thing that we can notice here is that the next resistance is far away (upper highlighted area) which is exactly what we need. 
We don't need to trade in a stock where the higher time frame has a resistance just around the corner. As it has much more importance than the lower time frame charts.

The lower highlighted zone shows us that the price is trading well above it and the momentum is good so far in the higher time frame.

Now let's check the weekly chart - 

In the weekly chart, we have to use 20 Exponential Moving Average. This will basically filter out if the stock is in momentum in the weekly chart or not. 
Most of the times we will notice that the price usually bounces back up after it retraces to the 20 EMA in the weekly charts. 

So, if we are looking to buy a stock, the weekly price should be above the 20 EMA. 

Now let's check the daily chart- 

In the daily chart, we can see that it has broken out of a range and now the upper most highlighted zone, which was acting as a resistance is now acting as a support. 
Usually this gives us a great buy zone as the risk is really small( we can exit if it breaks below the highlighted zone ) 

So, this is how we do a multi-time frame analysis where we always start from the monthly chart, then weekly and eventually the daily chart.

I hope this helped and if you want to checkout my favorite trading strategy, check out my Heikin Ashi + SuperTrend strategy on Upsurge Club

You can also checkout my APP if you want to learn technical analysis in the most simplest way.