Whether you are a day trader or a swing trader, understanding how to read the trend on a high level and execute on a low level is the key to longevity in the market.

This is the ideal environment for long positions. Traders look for daily breakouts, then drill down to 5-minute charts to buy pullbacks to the rising 20-period EMA or daily AVWAP. Stage 3: Distribution

Technical analysis is not just about looking at a chart; it is about understanding the narrative of price movement across different perspectives. One of the most influential books in this space is by Brian Shannon, founder of Alpha Trends . Shannon’s work is a cornerstone for traders looking to bridge the gap between long-term trend analysis and short-term execution.

The engine of Shannon's method is his "four stages" market cycle model. He argues that everything, from a small stock to a major index, moves through this predictable process.

Here is how a swing trader applies Brian Shannon’s framework to execute a textbook long trade: Step 1: Check the Daily Chart (The Macro Trend)