Nice Gartley Sell Pattern

I have no orders in tonight but thought I would share this pattern. A pretty nice Gartley sell pattern. I thought I would point out the areas where price would stall and show the importance in taking profit as your trade progresses and why I use the Fibonacci levels as targets and exits.

The Gartley completed at the .786 of the X to A move and a bearish engulfing candle pattern. Notice what happens at each of the fib levels as price moves down. Notice the divergence in the MACD and the crossover of the ma's. This was acually a very nice set up and it played quite well. To bad I wasn't involved in this one. This trade, as of this posting, was worth 90 to 100 pips. As I write this post price is still at the .786 level, a good place to have taken some profit and move a stop.

IMHO this is one of the best patterns to learn. You can learn this pattern from the best in the book "Trade What You See" by Larry Pesavento. A must read for the serious trader.