USDCHF Bearish Gartley

Bearish Gartley formation on USDCHF H1 chart.

• B point @0.618XA retracement
• C point @0.786AB retracement

PRZ Zone :

• Convergence of 1.27XA and 1.27BC at 0.8500
• AB=CD at 0.8490

Convergence of all PRZ at 0.8500 could give best opportunity to short this pair at this area.

UPDATE

Price action quickly stalled after all PRZ is tested.This should give a signal an end of predominant uptrend.

Short on 0.8493.








UPDATE

At first 1.27XA and 1.27BC at 0.8500 manage to hold price action from predominant trend, but this not last for to long. In the next candlestick price action was able to break the PRZ and stay above there for a few hours. In my oponion this could give a signal for a failed pattern.

I had exit my position on the pullback with 1pip profit. Let see next if this pattern should failed or not.



UPDATE

Failed Pattern.

In my opinion price action should reverse at least  0.236AD for a valid reversal. Although most of the time after reach 0.236AD price action will retest again the PRZ the pattern still consider valid. Inability of price action in this setup to reach 0.236AD and quickly break the PRZ is a signal of a failed pattern.

Posted in: Bearish,Gartley,USDCHF