Which type of exercise?
 

Can someone tell me which excercises I should be doing to target the muscles that are circled in red? I've come so far to this stage but I cannot get my chest to shape up! Thanks in advance

Picture:
 

Pic was too big

Hi Abelgo,

To build chest muscles, i find doing the bench press the most effective. You can do this using dumbbells or barbell easily. There are essentially 3 variations of bench press.

1) Inclined bench press - works upper portion of chest
2) Flat bench press - works mid-overall chest
3) Declined bench press - works the bottom portion of chest

My brother only do Inclined bench press. I would suggest him other two also.

Do the Basic
 

In your shown pictures. It looks like you are just starting in lifting weights. I havents seen any muscle and more on fats.

To have a great pectoral muscle, for the people who are just starting in lifting weights I suggest that you should do the basic, which is Bench press.

Here are just an example workout for chest for beginners:

Bench press
Inclined or neck press
Dips

Focus on this workout before you start doing different exercise on your chest. Make a foundation first.