on the daily chart
is currently in a bullish trend
. Price is currently retracing before a potential extension upwards. I am looking for price to enter previous structure zone (identified in purple) and then an entry signal on the 4-hour chart before getting long on this one. Profit targets are in the green zone, with stops below the red line.
The profit target is a confluence between a Fibonacci extension
level (1.272 to 1.5) and a measured move of the previous bullish
extension ( AB=CD
pattern). A more conservative target would be a retest of the previous swing high.
Stop loss is set at the level which will violate the trend and mean that price is moving into consolidation or a bearish trend