trading forex using Gartley Patterns

http://4.bp.blogspot.com/_dswi7ZSR8G...dusd+b-fly.gif
against the trend, AB=CD,and CD has it's own ab=cd
1.27ABCD comes in near 1.618 XA in case this is premature,

Thanks China, I took this set up entering at 1.4043. I exited at 1.4003 for 40 pips just above the daily pivot point/brn confluence at 1.40. Turns out that was all there was to be had. What does 1.38 pivot you mention refer to?

i'm glad you were able to scoop up some pips, it wasn't there long...

it was the 2nd pivot low from the bottom of the pattern, which is usually an intial target point for tp1 (when with the trend), or the most you should expect against the trend...

This re-inforces the positioning of the pattern as to it's success, or failure, and potential gains that can be expected.

http://2.bp.blogspot.com/_dswi7ZSR8G...py+gartley.gif
http://3.bp.blogspot.com/_dswi7ZSR8G...chfjpy+bat.gif
http://1.bp.blogspot.com/_dswi7ZSR8G...hfjpy+bfly.gif
with the trend, but not sure which is the significant X starting point, i'm tending to favour either a b-fly, or bat, due to the fib confluence, and prior resistance, but gartley can't be discounted

with the trend but messy confluence

http://www.forexnaija.com/?p=1537
hope u enjoy this

http://1.bp.blogspot.com/_dswi7ZSR8G...rtley%2B1h.gif
an interesting pattern is appearing, with .786XA, AB=CD, and 1.618BC all arriving around 80.25 area.

whilst the longer term gartley mentioned yesterday is with the downward trend (4H & Daily), this new potential gartley set up is with the short-term up trend, from a nice looking impulse wave, and price action so far looks corrective

how to play? good question...

option 1. TP1 on the original longer term frame comes in before the lower frame gartley so just treat as normal trade and once triggered bring s/l down to entry level and see how it plays out with expectation larger time frame negates lower time frame but that some bounce will be expected

option 2. As above but also enter on the bullish gartley, and follow the same rules for gartley trading. So your net position will be slightly long (ignore this rubbish about the false concept of 'hedging') at 80.30 (2 lots*risk short + 3 lots*risk long) but you can treat them as two distinct trading patterns.
Your s/l on the bearish gartley will be just above the .618AD of the bullish gartley (assuming a perfect ABCDbounce) so you can leave as is, or keep above A of the bullish gartley to give breathing space.

option 3. sq up the bearish gartley at tp1 for a 1:1 reward trade, establish bullish gartley position at 80.25/30, look to re-establish short position at higher levels if you think the bearish gartley is still valid.

Not sure if this is harmonic or not... Ucad 4 hr

i think it is, i jumped in a tad too early (see post 556) @ .786XA, and still have it running, or rather crawling at this stage...

You might like this one...
MY target is 1.6500

bullish bfly at 61.8 of a bullish swing at support cum trendline. I love it.

http://1.bp.blogspot.com/_dswi7ZSR8G...ly%2Bdaily.gif
Depending on if your learning comes from the Pesavento or Carney (perfect fibs) school of thought there seems to be some confluence on the audusd.

I'm not sure if i'm çurve fitting price action here on the audusd daily.The adjustment of the B point to fit a butterfly takes poetic licence. We have some confluence with 1.618XA & 1.27ABCDhttp://4.bp.blogspot.com/_dswi7ZSR8G...Bbfly%2B1h.gif

On the hourly's we have almost a mini mirror pattern of the daily's, again with the poetic licence on the B point. The fib cluster at XA 1.618 and 1.27ABCD is much tighter.




http://3.bp.blogspot.com/_dswi7ZSR8G...ab%2Bdaily.gif
As Carney says a butterfly should only be 1.27XA, but 1.618XA then we crunch through the crab calc's and end up with the similar daily and hourly patterns mirroring each other. The dailys have minimal confluence points so I'm not worrying about them too much.




http://4.bp.blogspot.com/_dswi7ZSR8G...Bcrab%2B1h.gif
The hourly's show a nicer fib confluence, but even that isn't enough to sell into a rally. However now that we have have a dip, is a short audusd position worthy of consideration while the 1.618XA holds?

http://3.bp.blogspot.com/_dswi7ZSR8G...rtley%2Bh4.gif
a bit early to post but if we see audnzd higher over the next few days then this formation looks interesting

http://3.bp.blogspot.com/_dswi7ZSR8G...%2Bgartley.gifwith the trend,
ABCD @ .886XA

http://1.bp.blogspot.com/_dswi7ZSR8G...djpy%2Bbat.gif
as it is against the trend I wasn't keen to sell this, however, with the potential double top failure, it now looks more attractive, plus the original price action from the peak, appears to replicate the original gartley pattern and rules, let's see...

CW,

I'm pretty naive to harmonics... What do you use for a TP???
Just observation but it looks like 38% of the formation?

tp1 usually just 1*1 risk on the bigger time frames 1h n up which usually comes in just before .382, if the pattern fails usually it fails before .382 so i want to make sure i get at least some cash for my trouble

tp2 aims for the .618 of the AD

tp3 can be 1.27XA or with major support points, if with the trend then let it run with a trailing s/l. if lots of abcd's around then just look for .886XA, if against the trend then .786XA.

basically similar (or the same) as Larry Pesavento's, though I'm testing Ross Beck's trailing s/l verus a fixed target, pro's n cons for each one...

once TP1 is done, or close to, s/l comes to b/e... don't want winning trades to jump back and bite you....there are so many happening that it's easy to move onto the next trade


when playing smaller time frames the 15 mins, usually tp1 is still at 1*1 of risk but it tends to end up at .618 due to spreads etc, and then tp2 1.27, n tp3 at 1.618

so for the nzdjpy t/p's at .6380 (which was .618 n also 1*1 risk) , .6330 n still have 1/3 running and at b/e stop...this was due to the late entry at lower than ideal level
In hindsight tp3 could have been secured once 63.10 held, but it's been a good week so I'll let it have some room..

Thanks for explaining your MM for harmonics.

with the trend

http://2.bp.blogspot.com/_dswi7ZSR8G...sd%2Bb-fly.gif
with the bearish gartley unable to complete, potential b-fly forming on smaller time frame with AB=CD @ 1.27XA which also = .786XA of prior rally