I then look for parallels to this.
I will enter when I get two touches on the line . I wait for the close price, to make sure that price does not spike down through the sloping line. (No Entry)
Depending upon market activity I adjust my stop when price moves up to the next parallel.
The closer the stop the more likely you are to get stopped out.
Before I entered the trade above I must decide a number of things
Is it better to hold BTC or another currency?
Should I choose EOS or BCD? Note BCD outperformed EOS by a large margin
Does it have a pattern that I can use to trade?
Is my risk to reward greater than 5.?
Will the entry happen when I am not at my computer?
Can I actively manage the trade or will I be unavailable for a few hours?
You can see why I exited this trade. The price is stair- stepping down along these ascending parallels.
If is gains clear support I would once again consider an entry
When traders have lost money in a currency, they often try to regain money in that currency. They then wait and wait for price to go back up. Then they say that there is a great team behind the currency and they are doing a big deal in two weeks that will change everything. Then they become a HODLer . They have changed the original intent of their purchase. On the other hand if you bought (with the PLAN of holding) ETH December 7 then in under 40 days you have 3.5X your value in USD
I think that it is usually better to take a break for a few days. Then enter a different currency.