Looks like AU is going to retest the lows and rise. Time will show.
Comments
dojitrader
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I was wondering, since for me the lower low on C to D has now made this pattern much less likely
to be successful, if your experience has found otherwise and at what point do you declare
this pattern invalid - other than D being stopped out - and move on to the next one ?
Thanks for your thoughts and insight !!!
fximperija
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As you can see the wick in the C point range didn't reach A, therefore this is still a valid pattern point and shows that the PA is turning down. The PA should not violate previous points, otherwise patterns becomes invalid. The Gartley isn't my favorite, with a success rate of 60-70%. In my experience, deep patterns like this one (deep ret. of XA) tend to reach T2's. Any PA closing below X makes this pattern invalid, closing, not a wick punch. Patterns should be used as guidelines for entries. I always place 1 position around the expected D point and save another one if the PA goes toward X. If PA stops near D and shows signals of reversal I add another position which moves my general entry even lower for better RR ratio. Should the PA violate X, I close my positions, take the blow and move on. 3 or 4 loosing trades out of 10 should make you profitable if you stick to your rules.
to be successful, if your experience has found otherwise and at what point do you declare
this pattern invalid - other than D being stopped out - and move on to the next one ?
Thanks for your thoughts and insight !!!