In this paper, the main idea of the proposed method is to build a secure image transmission combining watermarking and encryption techniques. From one hand, it consists of an image embedded in another one using a Discrete Wavelet Transform (DWT) to guarantee the process of watermarking. Then, the resultant watermarked image is encrypted using the master 4D discrete-time hyperchaotic Henon maps. From another hand, the synchronization between the encryption and decryption process is performed using a dead beat observer design based on Borne and Gentina practical criterion for stability study and on Benrejeb arrow form matrix for system description. Finally, a watermarking extraction process is done to recover the original image. Numerical simulations are carried out to show the effectiveness of the proposed approach.