I hope so as the deep AB retrace (which is not enough for a valid butterfly) offers an entry just above X. So Stops can be placed very near the entry. And of course I want the Cypher to be successful now and therefore see the Bat triggered.
Hi Dojitrader, I don`t see a Butterfly Pattern here. For me a Gartley has a > 0.618 & < 0.786 ret. of XA and a > .618 ret of AB with D = 1.27 of AB
Some trade it with D= .786 of XA but I think the 1.27 ext. of AB works better.
A Cypher is a bit more complex. AB 0.382 to max 0.618 of XA & C= 1.27 of XA (no Close above 1.41 ext. and no touching of the 1.618) + D = 0.786 of XC
I think every Trader should find out and define his own definitions as long as he is profitable. There is no "only way" also with These Patterns...
thanks I wish you a lot of pips too!
dojitrader
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Rules/definitions, Yes !
That's why I was asking about the butterfly you called invalid.
For me A to B @ .763 is much too deep for a Gartley, but, it is .02 within the
range of a butterfly - for me anyway. And the butterfly would support the EWave
count I'm working with after one new high, perhaps as high as .9500.
Hoping tomorrow's price action will help clarify the projections.
The Cypher just might work out well *******
dojitrader
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Whoooooopppssss !!!!
I meant Before a new high ----
Perhaps triggering a decent buying opportunity.
WendelinProbst
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as Long as it does not touch .786 ist a Gartley for me and no Butterfly. But I get cautious 1% before the Level = .776. So ts tricky but one has to draw a line. But the good Thing is that with such a Gartley at the deep .968 in this case, I don`t risk a lot in comparison with the potential reward. So some of These trades might turn out Butterfly trades and I make Money anyway... :-) I think I have to win on only one out of three such Patterns :-)
dojitrader
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Just wondering, but, doesn't a valid butterfly also require pt D
to be @ the 1.27 fib ext of X to A ???
Thanks for your thoughts !!!!!
Hope you make lots of pips this week, too ~~~~~