Editing Alpha Research (section)

= PART 3: LAYER 1 - MULTI-TIMEFRAME ANALYSIS (The Foundation) =

<div style="background:#e6ffe6; border:1px solid #00cc00; padding:10px; margin:10px 0;">
'''THIS IS THE FOUNDATION''' - Everything else builds on top of MTF alignment. If timeframes disagree, we don't trade.
</div>

== The 5 Timeframes ==

{| class="wikitable"
|-
! Timeframe !! Role !! Weight
|-
| '''Daily (1D)''' || Overall market bias || Highest
|-
| '''4-Hour (4H)''' || Primary trend direction || High
|-
| '''1-Hour (1H)''' || Trend confirmation || Medium
|-
| '''15-Minute (15M)''' || Entry timing context || Lower
|-
| '''5-Minute (5M)''' || Execution timeframe || Lowest
|}

== What We Analyze Per Timeframe ==

For each of 5 timeframes, our system calculates:

{| class="wikitable"
|-
! Analysis !! Description
|-
| '''MA21 Value''' || 21-period Moving Average
|-
| '''MA21 Slope''' || Rising/Flat/Declining
|-
| '''MA200 Value''' || 200-period Moving Average
|-
| '''Price vs MA21''' || Above/Below/At the MA
|-
| '''Trend Direction''' || UP/DOWN/NEUTRAL
|}

== MTF Alignment Score ==

<pre>
For each timeframe:
  1. Determine trend direction (UP/DOWN/NEUTRAL)
  2. Check if aligned with trade direction
  3. Apply timeframe weight
  4. Sum weighted alignment scores

Example (LONG trade):
  Daily:  UP (aligned)     × 1.00 weight = 1.00
  4H:     UP (aligned)     × 0.86 weight = 0.86
  1H:     UP (aligned)     × 0.72 weight = 0.72
  15M:    DOWN (not aligned) × 0.58 weight = 0.00
  5M:     UP (aligned)     × 0.44 weight = 0.44
  ─────────────────────────────────────────────
  Total MTF Score: 3.02 / 3.60 = 83.9% aligned
</pre>

== Why MTF Matters ==

{| class="wikitable"
|-
! Scenario !! MTF Alignment !! Action
|-
| All 5 timeframes aligned || ~90% || '''High conviction trade A+ 2lots'''
|-
| 4 of 5 aligned || ~80% || Trade with normal size A 1 lot
|-
| 3 of 5 aligned || ~70% || Proceed with caution B 1 lot
|-
| 2 or fewer aligned || <60% || '''No Trade'''
|}

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