Not, quite. In general you could track my approach to analysis in daily videos. First - we estimate the context and direction on our primary time frame. As a rule - this is daily chart. When we get the direction, we take a look at lower time frames to estimate where it is better point for entry. All trading tools that we use are work together - indicators, patterns, Fib levels, extensions, pivot points, OB/OS analysis, trend direction, candlesticks etc.
Yes, we use some indicators pack - MACD for trend, Detrended Oscillator for overbought/oversold, and Displaced MA's for specific DiNapoli patterns.
That's why, based just on some price shape, as in your example this is channel - I can't say whether we should buy or sell. Because first you have to understand what place this channel takes in overall context.
Since our daily EUR context is bearish - I wouldn't take any long position with this channel, despite that price could bounce from lower border and even show upside action inside of it. Because it contradicts to the Direction, our context. I would use this upside action for short entry instead. Hopefully my explanation is not too confusing. It is big question and it is very difficult to put it in very short explanation.
Context is different depending on your time frame. Say, on daily it could be bearish but on 1H chart it could be bullish. And there is no contradiction, because this is absolutely different time scale. Daily trader uses daily/1H for trading, while 1H trader uses 1H/5min charts. And the place where 1H trader will book the profit from long position, daily trader could take the short position.
