Our rationale behind this idea simply comes from where price is currently located on the higher timeframe picture. The weekly, as you can see, shows price nibbling at the top-side of a weekly demand area at 1142.5-1167.3 (lower limit of the current weekly range), and the daily reveals that price is trading at the extremes of a daily support barrier at 1170.3-1184.0 (positioned just above the aforementioned weekly demand area).
With all of the above taking into account, our attention will mostly be driven toward longs today. In the event that we can find a suitable lower timeframe entry around the 1170.4 region today (pink circle), we’ll look to target the 4hr supply area seen above at 1188.0-1185.5, and potentially beyond this area given the right price action.
Levels to watch/ live orders:
• Buys: 1170.4 region (Stop loss: Dependent on where one confirms this area).
• Sells: Flat (Stop loss: N/A).