EUR/USD: Only a Matter of Time
08/19/2015 7:00 am EST
In this video, Christopher Terry, of iMarketsLive.com, takes to the charts for this currency pair to review the Gartley pattern that has formed and he illustrates how it shows potential for a higher low and a new leg up into the 38-62% retracement zone of the prior move down.
By taking a look at the EUR/USD, traders can see the Gartley pattern forming, which could have even went down far enough as a Bat pattern. However, it went a little more than a 50% retracement—typically if you see around a 38-50% retracement, you can set up a Bat pattern—so that gives us a Gartley pattern and that's where that target came in. We had a trend line that the market had broken to the upside and now it's looking to put in a high or low.
The next play is for this market to hold and swing back up to at least the halfway point from the recent large swing down. The market looks like it's trying to put in that higher low in the EUR/USD and now it's only a matter of time until traders should be able to see if this can make its way back up.
By Christopher Terry, Contributor, iMarketsLive.com