By Brian Shannon Technical Analysis Using Multiple Link [repack]

Brian Shannon’s "Technical Analysis Using Multiple Timeframes" (2008) outlines strategies for aligning market trends across different periods to reduce risk. The methodology emphasizes identifying market cycles—accumulation, markup, distribution, and decline—using tools like Volume Weighted Average Price (VWAP) for precise entries. Access the SFO book excerpt at Alphatrends. Amazon.com: Technical Analysis Using Multiple Timeframes

  1. Weekly Link (The Setup): AAPL has respected the 20-week EMA for 6 months. Price closed last week at the 20-week EMA. No lower close. This is a high-probability bounce zone.
  2. Daily Link (The Confirmation): On Monday and Tuesday, AAPL prints two inside days (narrow range candles) on lower volume. Sellers are exhausted. The Daily RSI is at 35 (oversold).
  3. 4-Hour Link (The Trigger): Wednesday morning, AAPL breaks the high of Tuesday’s 4-hour candle. Volume increases.
  4. The Execution: Buy at $175.25.
  5. The Stops: Stop loss placed at Monday’s low on the 4-hour chart ($172.50).
  6. The Target: The next Weekly volume node is at $185.00.

Technical analysis serves as a window into the market's "truth," reflecting the collective psychology of participants through price and volume. Brian Shannon, CMT, a renowned equity trader and founder of Alphatrends, established a definitive framework for this discipline in his acclaimed book, Technical Analysis Using Multiple Timeframes. by brian shannon technical analysis using multiple link

By: Brian Shannon

Filtering Noise vs. Missing the Trend

The greatest benefit of Shannon’s multiple-link approach is context. A novice trader sees a sharp 2% drop on the 5-minute chart and panics or sells. A Shannon disciple, however, glances at the linked daily chart. If the daily is still in a strong uptrend, the 5-minute drop is merely "noise"—a healthy retracement. Conversely, if the daily chart breaks its VWAP, that same 5-minute drop is the "signal" to short. Weekly Link (The Setup): AAPL has respected the

, provides a systematic framework for understanding market structure through the lens of price, time, and volume. By analyzing a security across various time horizons, Shannon teaches traders to align with dominant trends while using shorter-term charts for high-precision, low-risk entries. The Core Framework: The Four Stages of Market Cycles Technical analysis serves as a window into the