Follow

Keep Up to Date with the Most Important News

By pressing the Subscribe button, you confirm that you have read and are agreeing to our Privacy Policy and Terms of Use
Take Challenge

Lesson 8: Lower Time Frame Setup and Rules

Learn low time frame applications with Top-down analysis, Session timing, Asia liquidity, and mindset mastery.
LTF Setup LTF Setup

My Rules and Notes: I thought the low time frame would be hard to learn, but I find it much easier and more precise. I just need to take that skill into live testing.

  • The low time frame is useful for taking short-duration trades and follows the same fractal structure as the high time frame. I can use it to fine-tune entries and improve the risk-to-reward ratio when the current time frame setup does not meet my desired RR.
  • London and New York are the best sessions in terms of volume and volatility to trade. Sometimes, their moves are in opposite directions.
  • To trade Asia Liquidity Sweep strategy, the useful and benefitted time frames are LTF (15Min, 10Min, 5Min, 3Min, 1Min). So, I can observe the price action to better analyze the market structure and gain an edge.
  • In the low time frame (LTF), to keep my mindset clear and regain confidence, I should take action and actively trade in the LTF. All the principles that apply to the high time frame (HTF) also apply to the LTF. I should also limit myself to a maximum of three trades per day.

Low Time Frame: Top-Down Analysis

By using Lower Time Frames, we can take more precise entries with better timing, sniper-level accuracy, lower risk, and tighter stop-losses. This approach is especially useful for intraday trading.

Additional Important Points:

  • Lower time frames (1m, 5m, 15m) are ideal for intraday trading, allowing traders to catch multiple moves within a single session.
  • They help refine entry points after identifying key zones or trends on higher time frames (like 1H or 4H).
  • Lower TFs offer early confirmations (like LTF BoS/ChoCH) inside higher TF zones.
  • Tighter stop-losses = better risk-to-reward (RR) potential.
  • Suitable for scalping, day trading, and even fast swing entries.

Point 1: The low time frame is useful for taking short-duration trades and follows the same fractal structure as the high time frame. I can use it to fine-tune entries and improve the risk-to-reward ratio when the current time frame setup does not meet my desired RR.

Importance of Forex Sessions

The forex market operates through three major trading sessions: the Asian session, the London session, and the New York session.

When trading in lower time frames, we aim to take advantage of the market’s volume and activity during a specific day or session. Some sessions have low volume, others high, and we understand each session’s unique characteristics.

We usually see the Asian session as a period of consolidation, followed by a push during the London and New York sessions. This pattern happens consistently every day and is most visible on major pairs.

Point 2: London and New York are the best sessions in terms of volume and volatility to trade. Sometimes, their moves are in opposite directions.

Best currency pairs to trade for each Forex Sessions:

  • Asian (Tokyo) – Lower volatility, ranges common, good for planning setups. Active pairs: JPY, AUD, NZD.
  • London – Most volatile session, overlaps with both Asia and New York. High volume. Active pairs: GBP, EUR.
  • New York – Second most volatile, overlaps with London (the most liquid time). Active pairs: USD, CAD.

Note: For Forex Timing I have to again search on the internet or ask an instructor (pending work).

Asia Liquidity System – A Simple Example.

Steps to perform Asia Liquidity Sweep Trade:

  • Wait for the Asian session to close at 11:30 AM IST.
  • Mark the high and low of the Asian range, and wait for a breakout.
  • Once price re-enters the Asian range (note: price must come back inside), look for signs of a liquidity sweep (wick), price action, or inefficient pricing, and mark the zone.
  • Enter the trade and target the opposite side of the range (high or low) based on my risk-reward.
  • Works on major pairs like EURUSD, GBPUSD.

Making it even more simpler, follow this five steps:

  1. Find the range.
  2. Find any other interest points.
  3. Wait for the sweep.
  4. Wait for a return.
  5. Execution. Use 5min, 3min, 1min only.

Tip: Use the 15M, 10M, 5M, 3M, and 1M time frames to analyze and execute trades for clearer price action, breaker block area, and candle structure. I can look same example like JeaFx in this Youtube video – Simple Pattern.

Point 3: To trade Asia Liquidity Sweep strategy, the useful and benefitted time frames are LTF (15Min, 10Min, 5Min, 3Min, 1Min). So, I can observe the price action to better analyze the market structure and gain an edge.

LTF Psychological Considerations

We can trade any time frame, from 1 minute to 1 month, there is nothing wrong with that. However, when it comes to really low time frames, our mindset tends to overthink and lose trust. To solve this problem, I should practice and perfect the skills required.

Question: How does the low time frame affect us psychologically?

Answer: Low time frames can trigger stress, impatience, and overtrading due to fast price movements and constant noise.

Here are some of psychological effect we get:

  • Rapid markets – No time to react.
  • Fast losses & wins – fear & anxiety.
  • No trust for LTF concepts.

Important Note: Remember, treat low time frames with the same confidence as high time frames. Structure, liquidity, zones, entries and exit works the same way.

Point 4: In the low time frame (LTF), to keep my mindset clear and regain confidence, I should take action and actively trade in the LTF. All the principles that apply to the high time frame (HTF) also apply to the LTF. I should also limit myself to a maximum of three trades per day.

Closing Comment.

In the low time frame (LTF), I notice that every concept for taking a trade is the same as in the high time frame (HTF). In the tutorial videos, I also see that reversal and continuation trades work very well in the LTF.

At the beginning of my trading journey, I will start practicing live in the low time frame while also focusing on the high time frame for added confluence. Only consistent practice and journaling can improve my trade success across all time frames.

All videos lessons from JeaFx is completed now. Now, just take action to see the results.

Keep Up to Date with the Most Important News

By pressing the Subscribe button, you confirm that you have read and are agreeing to our Privacy Policy and Terms of Use