the hAnDbook of technIcAl AnAlysIsdifferent. It gets worse for the four‐hour candlestick, as there will be four different
versions of candlestick action. Therefore the best solution is to use a provider that
offers chart action based on the trading activity of the most liquid market, that being
the London/European period. As such, charts using timeframes above the one hour
should preferably be based on GMT time. This will align traders with the strongest
and most reliable price reactions based on technical analysis of charts synched to
the most active markets in the world. Knowledge of the Asian, European, and U.S.
trading sessions, including the four‐hour U.S.‐European trading session overlap, is
critical for shorter‐term trading.
figure 14.54 Regular Upside Oscillations Portrayed as Shooting Stars.
figure 14.53 Price Oscillating Upward in a Regular Fashion.