📊 Multi-Timeframe Confluence – GBPUSD 1H & 15min
This chart perfectly illustrates how traders can use the ELFIEDT RSI + 3SD Reversion Strategy for top-down confluence trading, combining signals from multiple timeframes to increase the confidence and quality of trade entries.
🟢 What Happened at the Yellow Line:
✅ 1H Chart — Buy Signal Triggered
The strategy printed a clear “UP” signal as price pushed below the lower volatility band with RSI deeply oversold. This marked a significant exhaustion point on the higher timeframe, signaling that the downtrend might be overextended.
✅ 15min Chart — Cluster of Buy Signals
At the exact same point in time, the 15-minute chart also showed multiple “UP” signals, confirming short-term exhaustion with RSI recovery already starting to form. The RSI indicator also dipped into oversold territory and began turning upward — a strong confirmation that momentum was shifting.
✅ Powerful Bounce Followed
After this dual-timeframe signal alignment, price reversed strongly and rallied for several candles, offering a clean move with both trend and momentum shifting in your favor.
📈 How You Could Have Traded It:
Start with the 1H timeframe and wait for an “UP” or “DOWN” signal — this gives your macro bias.
Drop to the 15min timeframe and look for the same signal type (e.g., “UP” + “UP”).
Confirm RSI turning or divergence for added conviction.
Place stop-loss just below the signal wick and use a reward target based on previous structure or a 1:2+ risk-reward ratio.
🎯 Why Confluence Matters:
When a lower timeframe entry aligns with a higher timeframe signal, you're no longer guessing — you’re trading with multi-layer confirmation. This not only increases your confidence, but also helps filter out weaker setups.
This example shows the true strength of the ELFIEDT Reversion Strategy — combining statistical exhaustion, RSI momentum shifts, and multi-timeframe alignment to give you some of the most reliable reversal opportunities in any market.
This chart perfectly illustrates how traders can use the ELFIEDT RSI + 3SD Reversion Strategy for top-down confluence trading, combining signals from multiple timeframes to increase the confidence and quality of trade entries.
🟢 What Happened at the Yellow Line:
✅ 1H Chart — Buy Signal Triggered
The strategy printed a clear “UP” signal as price pushed below the lower volatility band with RSI deeply oversold. This marked a significant exhaustion point on the higher timeframe, signaling that the downtrend might be overextended.
✅ 15min Chart — Cluster of Buy Signals
At the exact same point in time, the 15-minute chart also showed multiple “UP” signals, confirming short-term exhaustion with RSI recovery already starting to form. The RSI indicator also dipped into oversold territory and began turning upward — a strong confirmation that momentum was shifting.
✅ Powerful Bounce Followed
After this dual-timeframe signal alignment, price reversed strongly and rallied for several candles, offering a clean move with both trend and momentum shifting in your favor.
📈 How You Could Have Traded It:
Start with the 1H timeframe and wait for an “UP” or “DOWN” signal — this gives your macro bias.
Drop to the 15min timeframe and look for the same signal type (e.g., “UP” + “UP”).
Confirm RSI turning or divergence for added conviction.
Place stop-loss just below the signal wick and use a reward target based on previous structure or a 1:2+ risk-reward ratio.
🎯 Why Confluence Matters:
When a lower timeframe entry aligns with a higher timeframe signal, you're no longer guessing — you’re trading with multi-layer confirmation. This not only increases your confidence, but also helps filter out weaker setups.
This example shows the true strength of the ELFIEDT Reversion Strategy — combining statistical exhaustion, RSI momentum shifts, and multi-timeframe alignment to give you some of the most reliable reversal opportunities in any market.
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Join us to get free access to all indicators we created!
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.