All language subtitles for 9. Example 9 - How to Trade Zcash (ZEC)

Hello and welcome back to cryptocurrency trading masterclass by wealthy education in this video, we'll

take a look.

And zie cash so you can see I have the weekly chart up as usual.

And again, we will look for areas of support and resistance on the longer term chart.

I'll clean this up as we go along.

So one 50, I would suspect, probably be about where that is, this is going to be let's call us three

hundred.

And let's call this.

Five hundred.

And I assume that you by now recognize that as resistance, that as resistance and support, support

resistance, let's go ahead and make another one down here.

There's obviously a certain amount of support in this area.

Like this 50.

And we'll take it from there.

So.

First thing they need to pay attention to is what the trend is, and right now the trend is going higher.

It looks as if we are trying to complete this rounding bottom.

It's basically just what it sounds like.

It's just the market trying to pick back up.

After a significant breakdown, it's a long kind of grind and tends to be a little bit more reliable

if we do break out.

So the first thing that you need to see on the chart is if we break this one 50 level, that's going

to be a big deal, big deal that we will then probably continue to go much higher.

So let's go ahead and drill down to the daily chart.

And you will notice multiple.

Reactions to this level here, for example, the fifty dollars level and one of the things that I see

is.

The head and shoulders pattern right here, so you can see that.

We did this.

And so what's your measured move when you measured moves from 75 to 50, so that's twenty five dollars

on a break down below the neckline and you did get 25 dollars and then turned right back around, which

I suspect and I will add the Bollinger Band.

But yes, I wouldn't say I suspect that we broke down.

Got below the Bollinger Band, formed this hammer, you put in a trade above that hammer and then you

continue to ride it out to the side, stop loss down here, probably have a target right here as that

was.

Previous support should now be resistance.

A couple of different things that we can add here.

So the first thing that I would think of is volume.

And we have another one of these common breakouts above the Bohlinger ban on volume, that typically

means you're going to get a move higher.

You can see that we broke above there and then broke back down below the 20 Esmay, that might have

been your signal to get out depending on how aggressive you were or were not.

This is another one of those sudden shots higher, not really a squeeze, but definitely an expansion

volume picks up.

That's a good sign.

This is basically dead for those who trade the volunteer band system, it's just crushing and then eventually

you do get this move here on higher volume that should send you going to the upside.

If you put a stop loss on the other side of the Bollinger bands, you got nowhere near running into

trouble.

And in fact, you even even if you wrote it, not that you would, but even if you wrote it all the

way down to here, you still never hit your stop loss.

And then you took off to the outside.

This is a very interesting setup because we have been going sideways, we definitely broke down, but

notice how we fell, got a little bit underneath this Bollinger band, the negative two standard deviations.

And then we form this massive shooting star that touched the 20 Esmé and then we brought back down.

Pretty straightforward, set up their risk reward, probably left a little bit to be desired.

You put a stop loss on the other side of the candle.

You sure?

Just underneath it, the only real reference you have at this point would be this low, maybe the fifty

dollar if you go on the psychological importance of fifty dollars.

But, you know, at that point in time, you probably didn't know that.

But it does show a reasonable setup other than you didn't really have a target in the bottom that you

could name right away.

So let's get rid of the Bolinger ban.

And let's take a look at this on the hourly chart.

So.

The thing about when you drill down in timeframes like this, you get micro support and resistance,

and what I mean by that is just like little areas that might not show up on the higher timeframes,

but certainly this has offered support.

So if you were to break down below there, that obviously would mean something.

Just as this has offered resistance and this is just a simple breakout.

Now notice how this shooting star suggests that we're going lower, but then we turn around and broke

above it.

Well, that's a pretty powerful signal.

That is a failure to break down.

So the sellers have been wiped out.

You can see that you break the top of that candlestick and then at that point you can put a stop loss

on the other side of it.

Once you bring it here to candlesticks, later, two hours later, you rally and you take off.

This was resistance becomes support, we break down through support, we go on, find a little bit of

a hammer here at.

90 and then bounce again, so there are all these little micro setups as well.

It really comes down to the market that you are trading something like cash.

You can trade on the lower timeframes.

This I find interesting just by glancing at it, I saw this and you'll begin to see these set ups all

the time once you your eyes adjust to the markets.

So we had a pretty big leg lower.

We rallied for a shooting star right here at an area that had been resistance previously.

And then, of course, the 50 percent Fibonacci retracement level, the.

Bottom of the candlestick.

Right here was tested, we didn't break through it, but if you were just aiming for a return, then

you got it.

So.

The Fibonacci set up there, pretty nice, really.

So let's go ahead and put.

A couple of exponential moving averages will do nine and 20.

Nice fanning out and a crossover type trade.

Nice angle to it, so that, of course, makes you interested crossover here and then the angle surfs

the fan out.

You didn't even have to get out until down here.

So that was a nice setup.

That being said.

It looks like, you know, this market does tend to trend quite nicely when it does get moving and quite

frankly.

That shouldn't be a surprise because you're dealing with larger numbers.

So with that being the case, it's a little bit easier than like a ripple today trade.

Let's go ahead and remove all of the indicators once.

Put the RSI on.

And see if we can spot any setups.

Oh, so here we go.

The.

Fibonacci trade, if you remember, I just showed this to you.

And the 50 percent that even is more prescient due to the fact that we have the are assigned over by

territory, so that's yet another reason to consider taking that trade to event is very interesting.

And you'll see then that that confluence that I had talked about previously where you want to see confluence,

if you can find it, meaning that you want multiple reasons.

So this is interesting.

This.

Was over, but did pull back to fall in this area and it found this area here, 75, that had been resistant.

Notice how none of the rest of this was over board.

So certainly we're paying attention to.

When you look at this chart again, you can see that there are nice runs higher and lower, and the

biggest problem that you run into with RSI is it's not the be all end all.

So, for example, this was overboard, but.

We ended up pulling back into the normal range to the previous resistance, which should now be support,

so you need to pay attention to isn't overbought and then does it have some room to run to the downside?

And in this case, it didn't.

So you probably would have stayed out of that particular trade.

So in the next video, we'll take a look at chain link and see what kind of setups we can find there.