There are two strategies marked which I personally look for while trading Forex & Commodities....
First of the Strategy is to look for couple or more of bumps to join and extend similar to a trendline.... and take the trade when the Blue Stochastic line crosses above the the extended line....
Yellow Line marked on the chart are for this strategy.....pretty simple & straight forward...!!!
Second strategy requires a few conditions....!!!
Firstly, before drawing line from Higher Low to Lower Low.... one must check the price on the chart there at HL..to see if there is a good amount of difference between the two....
which is not always the case.....!!!
Incase, HL & LL on Stochastic does have a good amount of difference where then.... one is required to draw the line as shown in Pink...
and entry must be taken when the Blue Stochastic line crosses above the Red dotted Line which if one notices.... did not happen immediately but happened after a few bars....
also indicated by the vertical pink line on the chart....!!!
Now coming to the Blue vertical lines....first two from the left shows corresponding candles for the HL & LL on the Stochastic,
count the number of candles between the lines and the price at HL now the third vertical Blue line is at same difference of candles as the first two and is also the estimate
of price reaching corresponding to HL candle at the first vertical Blue Line.
This EPA is thumb rule....and estimated price can reach even earlier or a bit later.....!!!