Waiting for a break of resistance or a hold of support.
Well decided I would put out a clear definition of how simple my style of trading is (Some call it Supply/Demand trading, others structure trading, for me I just call it support / resistance trading... doesn't really matter as long as it works). What I do is simply find areas of support and resistance and wait for breaks of those areas, and an ensuing retest of broken S/R (For a conservative entry). Or I take the more aggressive approach and enter on a break and close above/below the S/R area. It all depends on the situation. Also another area of note is the 4hr 200 MA being broken above with P/A retesting and respecting the Moving Average, and the series of lower highs / lows being broken with higher highs / lows signalling that the downwards trend could be over possibly.
Also if you draw the fib retracement from the low at 91.80 to the current resistance of 96.70 then you'll notice how current support also coincides with the .50 Fib. And you'll see where I acquired one of my price targets for the trade. That being the -.27 Extension of the Fib as TP#1 and TP#2 being 98.80 (Next resistance). This of course, if price breaks above the current resistance. If it doesn't break current resistance than I will adjust accordingly and observe P/A to show me the way =)
Happy Trading =)
Also if you draw the fib retracement from the low at 91.80 to the current resistance of 96.70 then you'll notice how current support also coincides with the .50 Fib. And you'll see where I acquired one of my price targets for the trade. That being the -.27 Extension of the Fib as TP#1 and TP#2 being 98.80 (Next resistance). This of course, if price breaks above the current resistance. If it doesn't break current resistance than I will adjust accordingly and observe P/A to show me the way =)
Happy Trading =)