Module 6: Multi-Timeframe Analysis · Lesson 83/144
8 min 55 XP
Some levels matter not because of a clever indicator, but because everyone is watching the same ones. The clearest are the highs and lows of completed higher-timeframe candles. Mark them before you trade and half your map is already drawn.
These levels do two jobs. First, they are support and resistance: price arrives at the previous day high and sellers who remember it lean in, so it rejects. Second, they are liquidity: stop-losses pile up just beyond an obvious high or low, so big players often push price through to sweep those stops, then reverse. You saw exactly this in the fake-out lesson — here the level just happens to be yesterday’s high or low.
As support / resistance
As liquidity
Equivalents you will hear
PDH/PDL are also called the prior day high/low or yesterday’s high/low; PWH/PWL the prior week high/low. The same idea scales to the previous month, the session (Asia/London/NY) high and low, and the daily/weekly/monthly open. Different names, identical role: obvious levels that attract reactions and liquidity.