EUR/USD—Gartley Pattern or Upside Breakout?
04/08/2015 9:00 am EST
Christopher Terry, of iMarketsLive.com, shares a video in which he takes a technical look at a currency pair that has the potential for a Gartley pattern to form on the 4-hour chart time frame. Chris draws out the rest of the pattern and pinpoints the two areas to watch for resistance.
Looking at the EUR/USD on the 240-min chart, it is noticeable that the market made a test and put in a lower high, so the market should be watched closely in case it can take out the recent swing low and form a Gartley pattern. The market is potentially setting up for another swing to the downside. Should the wave come down again, it would set up a buying opportunity.
The only thing that could change this is if the market stops going down and then takes out the high, in which case, it would make this potential Gartley pattern null and void. If there is a little bit of a bounce that finds resistance, look to short with the risk above the high.
By Christopher Terry, Contributor, iMarketsLive.com