GBPUSD- Potential D Leg on "Bullish Gartley"
***Note: technically this is not a true gartley pattern since there is no definitive impulse leg. However, many of you find success trading the fibonacci zones within pattern structures.***
If GBPUSD can close today below the .886 fib retracement of the AB leg i think the pair would be a nice short for a few days. RSI is showing multiple signals for overbought conditions, as well as macd is starting to tighten up.
- If price closes above the .886 fib retracement the idea is invalid, as well as the bullish gartley.
D leg of the gartley should never extend past X and typically completes itself by fulfilling the 1.272 fib extension of the AB leg. In the coming days/weeks if the setup is still valid execution rules is to place a buy limit at 1.272 fib extension and stop is 10 pips or 1 ATR below X.
If GBPUSD can close today below the .886 fib retracement of the AB leg i think the pair would be a nice short for a few days. RSI is showing multiple signals for overbought conditions, as well as macd is starting to tighten up.
- If price closes above the .886 fib retracement the idea is invalid, as well as the bullish gartley.
D leg of the gartley should never extend past X and typically completes itself by fulfilling the 1.272 fib extension of the AB leg. In the coming days/weeks if the setup is still valid execution rules is to place a buy limit at 1.272 fib extension and stop is 10 pips or 1 ATR below X.