# Reward to Risk ratio on harmonic patterns

I’m trying to get my head around how people state the R/R of gartleys and the like are 2:1 or more. If placing the stop-loss above the X on a Gartley 222 and the profit potential could be as little as the .618 retracement of the CD leg that leaves an R/R of 1:1.2?

you never want to put a stop above the X point on a gartley your stop would be way to big.

The only logical spot for a stop placement is ABOVE/BELOW X.

A gartley predicts a move that ends at 78.6, so your stop would be approximately 20% of the move from X to A.

So if you have a TP at A, you get an approximate risk reward of 1 to 5.

In theory most would agree with you. However if you look at how many times a pattern would go past the B point to even hit your A point it is not going to happen very often. And on top of that risking 20 pips to make 100 (a 1 to 5) like you mention is far less probable then risking 20 pips to make 40.

I’m not trying to argue or anything like this but I would suggest for you (or anyone reading it) to consider the probable out come of thousands of trades like this before making it part of your trading plan.

Just some friendly thoughts to consider.