Gartley Pattern Indicator! Good or Bad Forex Indicator?

GBPJPY Trend Invalidation Signals and Contingency Plans

GBPJPY Trend Invalidation Signals and Contingency Plans
Took multiple losses on GBPJPY as it ran through all the trend continuation setups, and the persistence of how it has done this move is something that gives us reason to re-assess trade plans, and be diligent on risks as well as opportunities the conditions we are now in may present.

I feel like I've seen this movie before. Usually when getting squeezed in a trend continuation, there are a few hits you have to take and then there is a big pay off. As a general rule, the better the move will be the harder it is to position for. So early losses on this were all within the acceptable margin of error in this strategy (I think I also made setup errors, which was bad. I can do better on that). After we ran some more setups (that looked fully valid at time of execution), I noped out. Stopped selling, and waited to see what happened.

Last time I remember being on the wrong side of such a fierce move of this form on GBPJPY was similar. Done well shorting, scalped some buys at a support, then reversed into the "correction" - and it went parabolic against me. I remember this well, because in the coming week there were news reports of the GBP having it's best day/week in a yeadecade (I forget specifics, but GBP was in the news for the rally). In the week after that, the high was made .... because that was when Brexit happened.

What happened there, from a charting perspective, is we went into a 2 week corrective cycle and then started another impulsive wave. If this happens we may see something spectacular in GBPJPY in the near term. This may feature a record breaking rally (or at least strong one) into 145, and even 155 (current price 130). From there, we may start a new trend taking the market into the large chart forecasts of 89 and 61.

I can retire if that happens. Absolutely. I'm going to plan, with various contingencies, for something like that possibly happening. In this post I''ll show what warnings signs we got over the last days as sellers. Where our main dangers will be as buyers. The levels as which we can be more sure buyers have won out in the short term, and also where the possible spikes low could come and how we'd trade them / what we'd do next.

I'll use MT4 charting for this analysis, since it will require a lot of different fibs and patterns assessment, I find fibs on MT4 quicker to work with than cTrader.

The Big Gartley Pattern


So the first thing we want to establish is where the buyers are coming from. Double bottom is accurate, but a bit vague. If we look closer, we can see the daily chart pinging off the 61.8 and 76 fib levels. This would be consistent with a Gartley pattern, and this would be a bullish reversal pattern (If successful). We have a couple probable scenarios here. One is a big break and move lower, and the other is a persistent move up in a small time frame trending chart form.

https://preview.redd.it/ycjwj3bsxmk31.png?width=806&format=png&auto=webp&s=94198bcff8cdf3e9b4cae306496bd91b5477a7f0
Let's look closer and see what the last days of trading have suggested to us about this.
Here is the 1 hour chart around the 76 level.
https://preview.redd.it/1c31uqv4qmk31.png?width=809&format=png&auto=webp&s=47df97d3f4f31238bacbb20282f8495399e01527
We've possibly formed the start of a second trend leg in the recent move up. Our best move here would be wait for a dip, buy into that and then run the trend upwards. We should see more strong moves like today, and these should be in nice structured form giving us easy entries and exits. This would be a good scenario for trading.
If a spike out is to form from this level, we'd now have it in a clear butterfly pattern. So we'd look for a 1.61 extension of this swing giving us a projected low of 125 area. This would be a harder move to trade. We either have to keep selling into the resistance levels and risk multiple small losses, or wait for momentum downwards and use breakout strategies. I feel method one has failed this week. We can perhaps look more at method two in a close under 128 (which will not happen if we are to trend).

https://preview.redd.it/djz31dxdrmk31.png?width=814&format=png&auto=webp&s=ce05f051a785177e7598e8c4f430224183366013
As buyers, the possibility of this take out low move is our main danger. We have to be aware this can happen and it will be a fast move if it does. Risk control is important.

Bullish Scenarios

For now I am going to work on trade plans for if price remains above 128.50 and indicates bullish momentum. I want to work on targets and then reversal areas.

When we use the analysis above and consider we may be entering into big corrective leg, we can consider that this might be a 'ping swing' like move.

https://preview.redd.it/s9fyuyhmsmk31.png?width=813&format=png&auto=webp&s=8aa69ac8b99bbd3874593a60fcf6e76b930be911
Remember the main characteristics of a ping swing. It's very strong. The move is parabolic. There's a spike out of major levels, and then there is an impulse leg.
Weigh that against the price action I described the last time I seen the same setup on GBBPJPY running into Brexit. The market followed that same template of price movements, and then came down in spectacular fashion.
This is where our main opportunity is, and this is where it seem the smart way to be betting is at this time. If the lows made here are taken out, we can look for positions around 125 to load up for this (a spike out and rally is still valid).
In the immediate term, we can just buy dips. Use tight stops and get high RR if it runs up, have very small losses to the downside. A correction from 130.20 to 128.50 gives us a great buying opportunity to get started in this move (buying over 130 but under 130.60 I think is a bad trade. Better to wait)
If we can establish a good buy position and see a ping swing move (which would be 2,000 pips - and GBPJPY can do this without many pullbacks, it's wild) the profit potential on this is enormous. Very small risks can be taken for extreme profits on the other end. If we do this and make good profits in the run up to that, we can then use a portion of these profits to position aggressively on the 61.8 spike out, and maybe have big positions in a decade long breakout to the downside in GBPJPY.
Whether or not there is a spike out low, when buying our first target is 145.00. This is either buying from 128.50 or 125 if that trade does not work out.
It would be very dangerous to sell if there is a spike out low into 125. Selling here could be brutal in the whip against you (as could selling in the leg we have but not getting out quick). For some perspective on this, GBPJPY went from 145 to 160 in only a couple strong trading days the last time we had conditions similar to this. The possibility of this, makes it a bad time to be a seller - horrible time to be a stubborn one.

Wrap up.

No buys 130 - 130.50. Possible buys if there is a break of this.
Sells possible in this area, but risky. Not great RR. I'd not bother.
Buy level 1 - 128.50. 143 could be swing target here.
128 major bear break area. Danger of fast move here. Cut buys.
125 if met in spike, big buying area. Target 143 and stop 123 (tighter with price action).
145 first major upside resis. If we break this, 155.
Absolutely no selling into parabolic moves on GBPJPY at levels not mentioned here, isn't worth it.
submitted by whatthefx to u/whatthefx [link] [comments]

FOREX: Trading the Gartley and Reading Structure Forex Trading: Gartley Patterns at Work - YouTube Part 1 Gartley Pattern Made Easy - YouTube Gartley Pattern, How to draw and identify - YouTube Gartley Pattern MT4 Indicator Trailer How to identify a Bat, Butterfly and Gartley pattern - YouTube Advanced Pattern Software gartley bat and cypher indicator for MetaTrader AMP indicator - Gartley pattern - TradingArsenal Harmonic Patterns - Gartley Pattern Introduction by Scott ...

this gartley pattern indicator is amazing ... but the thing is not refrshing after pattern formation.. it plotting too much arrows and messing the chart.. if i have mq4 file i can set it false for that arrow.. but here only seeing ex4 file... any one will help me? If you are looking for the Gartley Pattern MT4 Indicator, here’s one that I found that I think works quite well and you may use it with the Gartley Pattern Forex Trading Strategy.. Let’s face it, trying to work out the Gartley pattern manually is time consuming and it is not just one thing you are looking for but a lot of other things as well that make up the Gartley Pattern. The Gartley Patterns MT4 Indicator is a trading strategy for the forex market which is based on Fibonacci retracement numbers as described by H. M. Gartley in his 1935 book, Trading Chaos. This is a reversal trading strategy because the direction of the asset traded is in the opposite direction to the original trend. + Gartley Pattern Forex Trading System. Download Now. For VIP Members Only. Sign up to see all our download links - 100% Satisfaction Guaranteed - Download as much as you need . Sign Up Now. Don't Miss Pro Indicators. Check Now. Keltner Channels Reversal Trading System Mt4; JoGET Multi Pairs Indicator; Black Dog Cross Forex Trading System For Mt4; The Stock Investing Course For Beginners; Wall ... it can be a difficult concept to grasp for many forex traders because the gartley pattern has a handful of components that must be formed to make it a valid gartley pattern. a lot of intense technical analysis is involed using fibonacci tool and sometime it can also be a “guess” to identify which is the “X-A” or “A-B” leg etc Forex harmonic pattern Indicator. This forex harmonic pattern best indicator power indicator for forex daily trading in major pair like eurusd and other pair.Pattern basic learning for new trader with trad any market session i any currency or gold trading best forex long term trading.. Harmonic indicator example zigzag forex indicator daily low or high forex market.Best example for this ... The Harmonic Pattern Butterfly is closely related to the Gartley 222 pattern with the main difference being that the Butterfly pattern’s CD extends beyond the XA leg. The Gartley Butterfly pattern is also identified by the classic ‘M’ and ‘W’ patterns. (see more about other forex patterns). The Butterfly pattern was one of the many harmonic patterns developed by H.M Gartley which ... Gartley Pattern Indicator is one of those tools every trader needs to be able to study the reactions ... extensions, clusters, and tie zones. The Gartley pattern is mostly used in combination with other technical best mt4 indicators or chart patterns. For instance, the pattern can give you an insight into the probable direction of the price over the long-term, thereby enabling traders to ... renko indicator. Gartley pattern. Forex indicators. forex binary options strategy . best forex indicators. Check here above doji pattern indicator arrow for sell trading with 100 pips market target. Forex Candlestick Patterns– indicator that use for Metatrader 4 (MT4) or Metatrader 5 and most imported of the forex indicators To provide or transform the Accumulated MT4 history data for ... Forex Indicators. Mt4; Trading Systems; Forex Courses; Stocks Courses; Forex Signals; Articles; Shop; Gartley Pattern Mt4 Indicator. Download Now. ROC MA Indicator; CCI Custom Candles Indicator; Platinum Indicator for Binary Options; MA Distance from Price Mt4 Indicator; MPCandle Indicator; Today Trend Mt4 Indicator ; Please Login * Username * Username. Username can not be left blank. Please ...

[index] [13960] [8264] [22739] [19085] [28615] [21644] [25919] [6210] [13002] [8510]

FOREX: Trading the Gartley and Reading Structure

AMP indicator from TradingArsenal. Best pattern recognition tool for MT4 platform. Video presents how AMP indicator spots emerging Galtley pattern (http://tr... This software helps you to identify patterns such as Gartley, bat and cypher. This indicator does not redraw like all the "harmonic software" you will find in the market. This feature gives you ... A Simple And Brief Explanation Of The Rules That Make Up A Valid Gartley Pattern Tradingview: https://www.tradingview.com/u/Joseph_Yabwa/ Website: www.tradew... All about Trading in Forex and Binary Option Marked. I will reveal the indicator in my next video if it was a demand for it. ----- Music: Backgroung music are used from You tube and NCS channel on ... "Harmonic Patterns - The Gartley Pattern by Scott Carney" is an introduction of one of the most popular patterns today. Introduced in 1998 in "The Harmonic T... Sign up for the 12 Week Transformation http://tradeempowered.com/transformation/ this video will teach you the accurate measurement of BAT, Butterfly and Gartley Pattern. It will also help you at early stage what kind of pattern does the ... In this tutorial you will learn how to identify an advance Gartley Pattern with the levels I use. And a tip on how I have trained my eye in the past. FOREX: Trading the Gartley and Reading Structure Trade Empowered. Loading... Unsubscribe from Trade Empowered? Cancel Unsubscribe. Working... Subscribe Subscribed Unsubscribe 144K. Loading ...

http://binary-optiontrade.ceisoco.ml