Here we have a VALID BULLISH GARTLEY PATTERN on FX:USDCAD, that is coming close to the completion point. The main point to note here is that, this pattern has been formed within the consolidation zone that we have been in for the past 12 days. In general, harmonic patterns tend to work best when they are formed during consolidation phases. I wanted to place the stop loss below the key psychological level, but that just ended up lowering our risk to reward ratio. Thus, I have decided to hide the stop loss just under the consolidation zone, in order to keep a favourable risk to reward for this setup. See the chart above for more details.
NOTE #1: I previous posted 2 additional bullish patterns on this pair, but the entry never got triggered. But those 2 patterns are still valid since the C point was never violated and I will also be looking to trade those patterns, if we get them to complete as well. I have posted a link to the other 2 bullish patterns on this same pair under the RELATED IDEAS below, make sure to check it out.
Please feel free to AGREE or DISAGREE with this idea by leaving a comment below. Hit that thumbs up button (top left corner of this chart) if you like the idea. Thank you everyone for all the SUPPORT that you have given me so far, I truly appreciate it. Good luck everyone :)
Can you offer your view on what makes the patter you posted valid? Granted it's not complete, but my understanding is that the levels as shown are outside the bounds of what is commonly understood to be a proper Bullish Gartley. Thanks for any clarification.
moneymaking
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Hi ninja, no problem, I'll try to make it as clear as possible. According to my rules, the bullish Gartley pattern the XA leg retracement must touch at least 61.8% fib retracement level for a valid B point completion. Next, the BC leg retracement must touch at least 61.8% fib retracement level for a valid C point completion. Lastly, the CD leg must complete at 127.2% fib extension of AB leg. This according to my rules constitutes a VALID bullish Gartley pattern. These rules stay the same for any bearish Gartley pattern as well. I hope this clarifies things a bit. Please let me know if you need more clarification.
moneymaking
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UPDATE #1: Stop loss was hit. All positions are not CLOSED for this setup.