HTF: 1D We could be forming a potential falling wedge formation on the daily, 2 touches on the bottom trend line and the bullish gartley on the LTF 4H could be the leg up to complete the second touch of the top trend line on the daily.
Reason for entry: Bullish gartley completion on the 4H Entry: $3915 Stop loss: $3595 (BTC could head down to form a channel instead of wedge) Target 1: 38.6 fib of A-D ($4082) Target 2: 61.9 fib of A-D ($4238) Target 3 Top of the falling wedge trend line ($4480)
Comment
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If entry was at the 1.272 fib ext of A-B ($3835), it would be a 1:1 risk reward.
Current entry is not ideal but let's see what happens.
Trade active
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Latest candle created a new low watermark for the D leg. Targets are moved slightly due to that.
Target 1 has been hit Stop loss moved to breakeven so this is a risk free trade now. Sold 50%
Nice catch on the Gartley. Have you had a chance to back test how well gartley play out with BTC in these scenarios? I was curious to know your expectancy.
Also, at first, I was going to ask why you entered an inverse RRR trade based on your Long box on the chart. But I can see that your RRR box doesn't match your targets, so it makes sense.
jonathan612
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@cryptocowboy2030, thanks for the comment. I have not backtested the gartley on BTC, so I don’t know my expectantcy.
I’m using TV to sort of journal my analysis and doing some paper trading.
Have you done any testing of the other pattern on BTC?
algocowboy2030
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@jonathan612, I'm currently back testing BTC dips which go below RSI 30 on daily looking for correlations. Problem is that it's hard to find data that goes back much more than a year or two on TV. Do you have a way on TV to go back more time? I haven't searched that hard for an exchange with data back that far, but the searches I have made so far have not been successful.
jonathan612
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@cryptocowboy2030, I believe Coinigy may have data going way back but you may need a subscription for that.
Also, at first, I was going to ask why you entered an inverse RRR trade based on your Long box on the chart. But I can see that your RRR box doesn't match your targets, so it makes sense.