From the chart shown, the blue line at the top is a trend line from the 2 previous highest points on the daily chart, price is currently on an upward trend/motion heading towards that overall trend line. The supply zone between 67.2 - 67.4 has broken through which now turns to a demand zone, from looking at the stoch indicator we see the lines cross over signalling price may drop, drop down to the 1H chart you see a bearish engulfing meaning price is going to drop down to retest the new demand zone on the 4H chart which we will look to enter a BUY position and continue the current movement.
Confluence in this analysis is price currently moving upward, breaking through a supply zone, creating new demand(which is set to be retested) fib retracement also shows new demand area shares the 0.382 and 0.5 fib levels, 20 MA also shows movement towards the upside
R:R:R - 2.65
OP - 67.386
SL - 67.073 (-30.3 pips)
TP - 68.178 (+80.2 pips)
Confluence in this analysis is price currently moving upward, breaking through a supply zone, creating new demand(which is set to be retested) fib retracement also shows new demand area shares the 0.382 and 0.5 fib levels, 20 MA also shows movement towards the upside
R:R:R - 2.65
OP - 67.386
SL - 67.073 (-30.3 pips)
TP - 68.178 (+80.2 pips)