Bearish Gartley pattern in the USD-CAD 4 hour chart.
Comments
dojitrader
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Just curious to check your thinking "rules". Do you think that ab=cd is more important for an entry than the recognized level of .786 ? which it hit in last weeks trade.
Night_Trader
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In fact yes ! I think that AB=CD in a Gartley pattern is a more important price point than the Fib number. But nevertheless I would have taken the trade at .786 but I missed it. So I will try now to catch the AB=CD point. I would have taken the .786 because it was just before the AB=CD and because that is a strong pattern it is likely to be front run like in this case. For me a Gartley pattern consists of an XA leg and an AB=CD as the important components. The .618 and .786 levels are a specification Scott Carney made and now we distinguish between Gartley patterns and AB=CD patterns. But before Carney there was no such difference. They were all Gartley patterns and AB=CD was the most important component.