xela75

Overlapping Gartley and Bat / opportunity in EURJPY77

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FX:EURJPY   歐元 / 日圓
There are two overlapping harmonics in EURJPY. The Gartley just completed on Friday and cleared the whole potential reversal zone, while the bat did just complete on Friday, but PRZ is not yet cleared.

The stop loss zone of the bat pattern is right in the area of some neat structure with multiple bounces in H1 and H4. The PRZ and SL zone of the Gartley does not show this neat previous structure. From my point of view it's more likely, price will bounce off of the bat PRZ than from Gartley PRZ.

My XSI already shows extreme overbought and falling for the last two candles (in H1 it's a Doji candle), so very likely price will reverse from outside return, retest Gartley PRZ and probably clear the bat PRZ and complete the bat. If price stalls in PRZ, RSI and XSI signal price reversal (extreme, oversold, divergence, …) I get long and run for TP1. At TP1 I will close half of my position and aim for TP2. Will get out of the position if price, RSI or XSI indicate weakness in rally to TP1 or TP2. SL goes to 134.770. Make sure to enter below 135.80 to maintain at least a 1:1 risk/reward to TP1.

Good luck.

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