The Shortest Way to Produce Results: Practice Method #3

Start by Watching Only the 4H Chart at First

Hello. This is THE DAYTRADE.

Last time, I talked about “deciding what to practice before practicing.”

From now on, we’ll get into how to practice in real trading.
What I want you to do first is very simple.

Only look at the 4-hour chart.

We won’t look at the 1-hour or 5-minute charts yet.
“Is that all?” you might think. But those who skip this will end up taking a longer path later on.

Why only the 4H at the beginning

My method involves looking in the order of 4 hours → 1 hour → 5 minutes.

• Determine the trend (up or down) on the 4-hour chart
• Narrow down where to enter on the 1-hour chart
• Wait for the entry timing on the 5-minute chart

Of these three, the top one is the 4-hour chart.
If you read the trend incorrectly here, no matter how carefully you look at the 1-hour and 5-minute charts afterward, everything will be off.

In a house, the 4-hour chart is the foundation.
If the foundation is tilted, you can’t build a neat wall or roof, and the house won’t stand straight.

Right after you enter, it can move in the opposite direction.
Most of the causes come not from the timing on the 5-minute chart, but fromthe higher time frame and direction not matching, in my view.

Seeing all time frames at once leads to confusion

Beginners tend to open many time frames at once.

The 4-hour looks like it’s going up.
But the 5-minute is going down.
The 1-hour is unclear.

When this happens, you don’t know which to trust, and you end up entering “just because.”

Worrying isn’t because you lack talent.
It’s because you haven’t set the order of viewingyet.

So at first, limit what you look at to one thing.
Be able to state the 4-hour chart’s trend without hesitation.

What you look for on the 4H: only the most recent high and low

There isn’t much you need to look at on the 4-hour chart.

When I determine the trend, what I look at on the 4-hour chartare only the most recent high and low.
Indicators (the lines calculated for display on the chart) show nothing here.

• If the highs are being pushed up, an upward trend
• If the highs are being pushed down, a downward trend

This is the basic concept of Dow Theory (judging a trend from the sequence of highs and lows).

And I don’t use the idea of a “range.”
Even when it looks flat, there is always a flow in one direction, and you look atwhich direction is stronger now.
So in practice, don’t end with “I don’t know—decide up or down.”

How to practice looking at only the 4H

There are four things to do.

① Open only the 4-hour chart
Close the 1-hour and 5-minute charts. If they’re visible, you’ll tend to look at them.

② Look at the most recent high and low and decide the trend in one word
Whether it’s “up” or “down.” Even if you’re unsure, decide one of them.

③ Draw only one horizontal line
If it’s up, draw a line at the swing low (a reference for whether the up move will continue); if it’s down, draw at the swing high (a reference for whether the down move will continue).
This line is a guideline for whether the trend might change if it’s broken.

④ Write your judgment in one short note
Something like “Upward. Swing low is …” is enough.
The next day, review how that judgment turned out.

Do this every day.
It’s a practice that takes only a few minutes a day. It can be done on a smartphone too.

※ The method for drawing horizontal lines will be described in detail in the next part (#4).

People who think “I already understand” should do this even more

This practice is subtle.
You won’t enter, and you won’t make a profit.

But please try it anyway.
You’ll realize that deciding “up or down in one word” is harder than you think.

If you’re hesitating, you’re not yet at the stage to move on to the 1-hour or 5-minute charts.
In other words,once you can state the 4-hour trend without hesitation, you’ll reduce a lot of unnecessary trades.

This is the very first step to avoid detours.

What to do today

• Open only the 4-hour chart (close other time frames)
• Look at the most recent high and low and decide “up” or “down” in one word
• Draw one horizontal line at the swing low or swing high
• Write a one-word memo and review tomorrow

Summary

• The first practice is to look only at the 4-hour chart
• The 4-hour chart is the foundation. If this is off, everything on the lower time frames will be off
• Worrying comes from not having a decided viewing order
• Look only at the most recent high and low. Always decide up or down
• Every day, leave a one-word memo and review

Next time is #4 “Practice of drawing only one horizontal line.”

Pursue accuracy over win rate.
That first practice is the 4-hour chart.

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A tool that lets you draw lines and text directly on the chart (Windows MT4/MT5). Recording the 4-hour decision on the chart makes reviewing the next day easier.
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※ Individual results vary; this does not guarantee profits or the duration to master.
※ Trading involves risk of loss. Results vary by individual, and profits are not guaranteed.