This is an opportunity to capture some pips on the GBPUSD in a trend continuation from a potential Gartley Pattern forming. The sterling dollar has been rallying for weeks and is no in a correction as a result of the Brexit agreement before key European summit next week has been reached between the UK and the EU.
When defining the potential reversal zone (PRZ) for a Gartley Pattern:
• B = 61.8% retracement of XA leg.
• C = 38.2-88.6% retracement of AB leg.
• D = 0.786 XA retracement.
• C point within range of 0.382–0.886 retracement.
Note: BC projection must not exceed 1.618.
• Confluence with AB=CD
• Keep your Risk to 1-2% of your investment capital
• Enter at per your trading plan
• Risk to Reward 1:2
When defining the potential reversal zone (PRZ) for a Gartley Pattern:
• B = 61.8% retracement of XA leg.
• C = 38.2-88.6% retracement of AB leg.
• D = 0.786 XA retracement.
• C point within range of 0.382–0.886 retracement.
Note: BC projection must not exceed 1.618.
• Confluence with AB=CD
• Keep your Risk to 1-2% of your investment capital
• Enter at per your trading plan
• Risk to Reward 1:2