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What is use of Timeframe in stock market?
A time frame refers to the amount of time that a trend lasts for in a market, which can be identified and used by traders. Primary, or immediate time frames are actionable right now and are of interest to day-traders and high-frequency trading.
It's basically used for traders. But long term investors dont worry about this.
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By looking at price movements over different time frames, traders and investors can identify trends, support and resistance levels, and other patterns that can help them make trading decisions. However, it's important to remember that no single time frame can provide a complete picture of the market, and it's important to consider multiple time frames before making a decision
Time frames are used in the stock market to analyze the price movements of a stock or a market index over a specific period. Different time frames provide different perspectives on the market and help investors make informed decisions about buying or selling stocks.
Time frame for stock market mainly used to plan your investement. If you want to invest money in stock market for long term like 2 to 5 years use yearly time frame to study returns of share from the particular company.
If you are trader and trading as swing trade or positional means you invest for three to six months you can use daily or weekly time frame to analyse the data.
If you are trader and trading on intraday or short term the 15 minitues to one day time farme can be used to anlyse the historical data of particular company share.
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