Thanks! I don't know how that works with uptrend vs downtrend either. The candle I was watching just closed ten pips below the trendline. I may still enter on this one eventually, but will keep watching the price action for now. Too many times I've jumped in early on a trade because I didn't want to miss an envisioned move, when I really would have done better to wait for a confirmation candle at the least.
Ratios & Harmonics: a Different Way to Trade
- #12,548
- Jan 30, 2015 3:52am Jan 30, 2015 3:52am
- Joined Aug 2011 | Status: Trader | 4,956 Posts
Trading during the Asian session on the AUD /JPY and CAD/JPY. AB=CD completions. {image} {image}
As the lights go by so too do the shadows move
- #12,549
- Edited 4:32am Jan 30, 2015 4:18am | Edited 4:32am
- Joined Nov 2014 | Status: Trader | 1,300 Posts
- #12,550
- Edited 5:31am Jan 30, 2015 4:34am | Edited 5:31am
- Joined Aug 2011 | Status: Trader | 4,956 Posts
Nicely traded Jamos! {quote} 'AB=CD' is a very generic pattern with many combinations, from which Mr. Pip has derived a preferred C retracement and given it the name 'ABCD'. So it is fair to say that all 'ABCD' patterns are also 'AB=CD' patterns, but not all 'AB=CD' patterns are 'ABCD' patterns. At least I believe that is the case (I am ashamed to say I haven't read the entire thread).
. An ABCD sounds better though and is probably a more reliable setup to trade on imo (which is a complement to Jamos) 
. I still have a long way to go with the thread too, it's a lot to take in and get through but just taking step by step.I have a question Mr Pip (or anyone that can confirm). Sorry if it's been asked before and probably has though I don't recall reading it to the point I'm up to as of yet. Of a Gartley setup if D is lower or a double B/T with B but still within the parameters of the rules is it still a legitimate trade or is it the breaking above/below the B where the move gets the most momentum?
Edit: I think I found the answer to my own Q. I was going over the attachment of the patterns and it seems the D level is around the 127.2 ext. of the AB leg. I have being using this but just a guide for confluence not necessarily as a rule.
As the lights go by so too do the shadows move
- #12,552
- Jan 30, 2015 5:35am Jan 30, 2015 5:35am
- Joined Nov 2014 | Status: Trader | 1,300 Posts
A bit quiet on the thread today. A nice trade on the EURUSD, arguably a delayed entry and early exit but reasoning is on the chart. +30 pips.
- #12,559
- Jan 30, 2015 6:50am Jan 30, 2015 6:50am
My first trade of the day gave me some green pips 
My entry was towards the bottom of the candle indicted by the blue arrow. Price had been on a slight upwards trend but following a weak NSH then a weak NSL this indicated that the price was going to drop or go sideways. With this in mind I entered the trade when the price started to tell me it was going down with the last 3 candles before entry, 1st strong bear win, then a slight bull reaction and then another strong bear win.
Price did hover around this area and even went a little higher than the last high. My SL was above the previous high and set to the RN 1.5100. This is because I thought the price was going down OR sideways, so this would help give room if going sideways.
I exited early as price stalled and I seem to get a little nervous, I got out and then price went against me by 8 pips so initially looked like a good move, then after my screen shot price went back down to hit my TP. Still need to have more confidence in my trades and getting my exit right, but at the moment as long as I am getting green trades and good entries I am happy. The exits will come more with chart time and experience/confidence.
Got +15 pips (original TP would have given +23pips)
My entry was towards the bottom of the candle indicted by the blue arrow. Price had been on a slight upwards trend but following a weak NSH then a weak NSL this indicated that the price was going to drop or go sideways. With this in mind I entered the trade when the price started to tell me it was going down with the last 3 candles before entry, 1st strong bear win, then a slight bull reaction and then another strong bear win.
Price did hover around this area and even went a little higher than the last high. My SL was above the previous high and set to the RN 1.5100. This is because I thought the price was going down OR sideways, so this would help give room if going sideways.
I exited early as price stalled and I seem to get a little nervous, I got out and then price went against me by 8 pips so initially looked like a good move, then after my screen shot price went back down to hit my TP. Still need to have more confidence in my trades and getting my exit right, but at the moment as long as I am getting green trades and good entries I am happy. The exits will come more with chart time and experience/confidence.
Got +15 pips (original TP would have given +23pips)
- #12,560
- Jan 30, 2015 6:51am Jan 30, 2015 6:51am
- Joined Nov 2014 | Status: Trader | 1,300 Posts
Good morning Traders, Just a quick update on the Gartley on the GBPJPY M5 chart it failed...I know the patterns don't always work out but was wondering if anyone could confirm if I plotted it correctly. Respectfully and with thanks, Mikali {image}
Price always has a reason for doing what it does, the problem is figuring out those reasons!
The market is full of obstacles. Some are obvious, some are hidden, some are expected and some are unexpected. Whenever price reaches an obstacle, it is the comparative strength of the bulls versus the bears which decides whether the obstacle holds or is overcome.
It would seem to me that price encountered an obstacle... the trend line I've drawn. The bulls were not strong enough to overcome that obstacle so the bears carried price down and therefore the potential Gartley never came to be.
(Mr. Pip: please tell me if you'd like me to stop mentioning trend lines and pivot points on the thread - I know they are a bit off topic.).
