Finding your best friend, the trend
So you are up to choose your best trend ever, who consults you in risky important decisions and deeply shows you why this or that happened and what may be the next?!
So, introducing trend
but how to spot a trend and how to make sure it's a real one?
one of the most common ways which is very useful and simple to learn is to change your looking window, into a bigger picture.
for example if you are trading Bitcoin recently in an hourly timeframe, you have seen the seemingly aimless sideways, like a drunk man footprint!
here it is:
to avoid the confusion, we change our timeframe to daily and we have obvious lower highs pattern.
so whatever the H1 window shows, you should have the bearish probability in your mind. you can combine it with 5H or Weekly charts to have confirmation, but I don't recommend such mess!
A lot of professional traders ( Including myself) use EMA Exponential moving average 15 to get a more realistic view of the current trend. The good thing about indicator is that it can be combined with another EMA 6 which clearly predicts the market trend. But it's also important not just to rely on one indicator or analysis this is why we're given all the tools!
Have you heard of Concencio by Tyler Jenks? He uses several simple moving averages to come to a consensus (concencio) to decide how the market is feeling.
I am still trying to internalize it.