Trading Idea: Long Position on [Asset] around Demand Area

Timeframe: H1

Overview:
The market has formed a demand area in the range between 1985.35 and 1978.85 for [Asset]. This area is being observed as a potential zone for a long position.

Reasoning:
Based on price action analysis, the area between 1985.35 and 1978.85 has demonstrated significant buying interest in the past. This historical demand area suggests a potential bullish opportunity.

Entry Point:
Seek confirmation signals within the demand area for a long position. This could involve candlestick patterns, price rejection, or other confirmation signals to indicate a potential upward movement.

Stop Loss:
Place the stop loss slightly below the lower boundary of the demand area to manage risk in case of a potential breakdown.

Take Profit:
Target the previous high as a potential profit-taking level if the price moves favorably after the entry. This level could serve as a resistance-turned-support area.

Risk/Reward Ratio:
The risk/reward ratio should be assessed based on the entry point within the demand area and the distance to the previous high. Adjust position size accordingly to align with a favorable risk/reward ratio.

Note:
Be patient and wait for confirmation within the demand area before considering an entry. Monitor the price action and be cautious of any potential false breakouts or signs of reversal.

Disclaimer:
This is not financial advice. Traders should perform their own analysis and risk management strategies. Trading involves risks, and past performance is not indicative of future results.