I’m looking at the 786 to short at .8994 as well. Take a look at the daily, we held support at the daily 786 (.8710) late last month and then had a nice 786 gartley to get long on. But, we’ve had a 300 pip run, and it reacted nicely to the 382, and even a little to the 618 so I like the setup.
I liked this butterfly - good reaction off of the 786, and i have the 1.27 at 164.38. Looks like the market went down to 163.89. How wide is your stop? I would’ve been stopped out for sure!!
[QUOTE=“Bertacci;599060”]
I’m looking at the 786 to short at .8994 as well. Take a look at the daily, we held support at the daily 786 (.8710) late last month and then had a nice 786 gartley to get long on. But, we’ve had a 300 pip run, and it reacted nicely to the 382, and even a little to the 618 so I like the setup. <img src=“301 Moved Permanently”/>[/QUOTE]
Seems like bias is shifting now for aud. I guess it is due for technical correction after the huge rally from RBA announcement. Will try looking for its other crossess as well.
As it was a longer tf and im still new to butterflies, plus the inherent volatility of that pair I put a 100 pip stop. It still give me around 1 to 5 rr
Hi guys! It seems like I have discovered my passion for the harmonic patterns, but I am a bit confused about a few things so would you be kind enough to answer some of my questions?
- Right now I
m trying to learn, understand and practice one pattern at a time and since the Gartley is the first pattern I have ever heard about, I thought it would be a good idea to start with it. Anyway, my first question is: What ratios should I use? Because I have found a few different sets of ratios and I dont know which one of them I should use. - Personally, I would like to use the ones Wookie1985 posted. So here is my second question: Do you strictly wait until the price hits those ratios or do you also pull the trigger when the price is a few pips away from them?
- Besides the Gartley, which pattern should I learn and use? From my newbie point of view, I find the Butterfly, Cypher and Bat to be quite interesting.
- I have noticed that the Gartley patterns can transform into Butterfly and Bat patterns, so how do you know which one to trade?
Also, would it be alright if I started posting charts too? It would be a really big help if you could confirm whether or not I draw them right. Thank you anticipated.
Yeah I was thinking I should wait for the butterfly too as target one was already hit like you said so I will wait it out might scalp long once it break resistance. I use windows on my desktop but since I’m out of town that chart was on my Samsung galaxy Note 3 the app is trade interceptor.
[QUOTE=“Ace Trader117;597790”]But once I see price go 20 pips my way I set SL to little below break even so the risk is completely out of the trade. I only risk 3% of my account and aim for a 3:1 risk reward ratio if I don’t have a 3:1 I won’t trade the pair. Sometimes I’ll scalp trade on a 5 min chart and use 1 hr cart to draw my support and resistance levels and only trade the trend direction of the 4 hr chart[/QUOTE]
My strategy is similar. I risk 3% per trade and try to move to break even ASAP. I take my profits 1 lot at a time over 5, so really trying to keep the paper profits.
Hey what ever works right! ? As long as our pip gains are positive at the end of the week we’re winners.
Hey Wookie1985 I decided to buy the CD leg of the butterfly after I broke resistance and set SL above break even I drew the x on the wrong leg you get the idea but even if I used that leg as my impulse it still had a retrace at 50 fib and looks like It will complete at the .886 fib making it a bat pattern
hi psyren and welcome to the thread, sorry its taken me so long to get back to you I’ve had a very very busy week at work. personally the ratios i use for gartley are:
B should be the .618 of XA
C should be either the .618 or .786 of AB
D should be the .786 of XA and either the 1.272 or 1.618 of BC
those are my ratios and i stick to them religiously, Bertacci has a different set of rules for the gartley and his point of view is just as valid
i personally trade Gartleys, Bats, Cyphers and Butterflies, in my opinion the Cypher and Gartley are probably the best patterns to start with as they have the largest stops and therefor theoretically can withstand the most volatility.
with the ratios that i trade a bat can’t close above the .618 of XA and the BC ratios are different which is how i differentiate between them and if a gartley fails it can provide a nice butterfly.
please feel free to post charts and I’m sure we will all endeavour to help you with your analysis
again I’m sorry for not being around much this week guys been a very busy boy I’m just doing my weekend analysis and will post some charts a bit later
i thought i would post some of the cyphers that I’m watching at the moment as i haven’t really talked about them and awful lot
this one is AUDUSD and its D is 0.8995
unfortunately due to work i didn’t spot this until today so will be looking to take it on a retrace as long as it doesn’t hit target 1, which is the .318, first
the thing i really like about these 2 is the SR level that there D points line up with, the have proven to be strong reliable level previously and will hopefully act in the same way again when price reaches them, you can see the reaction AUDUSD has had to that level already
this is a chart of GBPNZD, although it trading below the D point of this cypher at the moment we also have a falling wedge which is a bullish pattern
I see, thank you very much Wookie1985. Well, I think I found a hopefully to be gartley on the GBP/JPY
I know it is a bit early, but I thought I would make the shapes so I could track it easier.
Yeh it is a little early. But you have got exactly the right idea. Im not on my comp at the moment but when I am I will post some charts of gartleys a little nearer completion
Some sweet setups in the majors this week! I didn’t get in on the USDCAD but got the EURUSD and USDCHF. A bit loaded since those two are highly correlated but was able to manage risk since they hit the numbers perfectly. Looks like the USDJPY is going to give us an opportunity to short soon as well!
