So with any trade there's a couple simple principles EVERYONE looks at when determining a trade.
Retracements from a recent obvious high or low
Bulls vs Bears
Bulls vs Bears explained: The more and more I look through charts, in this case the very crypto charts, there is a give in take. When a sign that the sellers want to come in and take their profits, the major players throughout the world will take notice and allow the bears to take their profits. It's the only way to maintain a healthy give and take market. Especially in a healthy market, which is definitely where we are at right now.
PLEASE NOTEAlso, there is one final confirmation before price heads back towards the previous high. Once EVERYTHING has been accounted for when looking for a buy (Price hit it's natural retrace point. market structure is broken. Buyers show up. And when the sellers DON'T show up) This confirmation is a candle reversal on top of the 10 . This is a powerful long term play that works really quite well on the Weekly and Daily and even 4h timeframes. And, you can choose to have a tight stop loss... a little more risky, but the returns are much greater, even in the long run. One more thing on this signal, it must be OBVIOUS that price wants to chill and stay closed above the 10 .
DASH BTC 6-29-17
Now that I have kinda emptied my head, let's get into what I see here in DASH :)
(I apologize for the tight screenshot of the Daily. Gotta make that money to get a sweet setup.)
On the DAILY:
First, please refer to your own naked of DASH. This is all a learning process guys, and we need to work together to dominate this game.
We had a very obvious rise, and a very obvious retracement, which is where price is at now. During the retracement, price quickly came to a point that the buyers would not let the bears pass. Enough time has now passed for the bears to notice, and to take profit ASAP . Now we had just made a little new high (shown on my screenshot). So this is where I would look to take a long term entry.
But I like to be specific. Let's wait for confirmation on the retracement and we can get a perhaps perfect entry, and have a tighter, more specific stop loss.
On this little retracement, it made a W towards the ultimate . And, it happened to be divergent. ( , tdi ) Divergent and OBVIOUS M's and W's on retracements towards the peak formation are probably the strongest tells of a trade.
There's also another way of looking at this, and I want some of you to look for it too.
On this little retracement shown on the Daily screenshot, it made two perfect candle formations touching and closing consistently above the 10ema that look FUCKING PRETTY. This is the maybe number one sign that the bears are mostly out of the game and the bulls can take their trades.
Boom. Take the trade. Long term.
And for risk takers, like me, here is a possible way to start making more money or btc or whatever.
Once you have all the confirmations on the Weekly or Daily, take a 4h entry as well, with a 4h SL, and look to take a 1:2 or 1:3 profit based on your risk/Stop loss.
Here on the right, After it made it's W towards the upside on first rise that broke market structure on the daily, we need a new high made on the 4h, and an obvious candle reversal against the 10
This is an opportunity to take a 4h entry on a Daily trade. You can have your SL a below the most recent red candle on the screenshot. Upto you. Actually, putting it at or below the 50EMA looks to be a good option.
Take profit 2x or 3x your risk. This is at least a 75%+ trade.