At Sachin Bhatia Equity Research (SBER), we are often asked what time should I trade and we always tell, whichever time frame gives you return without breaking your patience.
It is considered to a good practice for trader/investor to know the time frame which best suits his/her trading profile. This keeps both interest and profit probability high.
As per best practices and depending on how volatile trading instrument is, the below time frames can be considered to start with:
- For intraday or day trading, prefer 5 minutes or 15 minutes time frame
- For BTST/STBT or swing trading for next couple of days, consider using 15 minutes or 30 minutes or 1 hour time frame
- For swing of weeks or a fortnight, prefer to use 60 minutes or 75 minutes time frame
- For short term trading, try 60 minutes or 4 hours
- For long term trading, day or weekly time frame can be used depending on preferred timeline of holding. Remember that weekly timeframe can be too long for many investors. Thus, use it with caution
Try different time frames for analyzing your favorite instrument for first few days and try to align and adapt to analysis outcome accordingly.