Key Structure Tool
The Channels Tool enables the addition of sloping structure in a precise, accurate and user friendly way. Once overlaid, the sloping structure can be locked into position to avoid it from being accidentally moved or deleted, the details of which are covered in the Reference Channels Setup and Channels Overlay Feature videos below.
Reference Channels Setup
This video shows how to setup the bull and bear reference channels. Once defined they can be used to project equidistant channels into the future and overlay them onto the lower time frames.
Channels Overlay Feature
This video shows how to overlay the active sections of the bull and bear higher time frame channels onto the lower time frames.
After watching the Channels Overlay video it is recommended to take a look at the price action that took place on the same day it was produced, the 26th October 2017.
The M5 bear channels played an active role in channelling price and highlighting possible trade entry points. The first screenshot shows the overlay of the M5 channels earlier in the session when price was below the Open. The second screenshot shows what happened later in the session when price moved above the Open, the important thing to note is how price interacted with the M5 channels and how only the active sections are overlaid.
Then look at the price action on the 27th October 2017 and notice how the same bear channels interact with price.