We wrote that the trade idea below would be invalid after 8 am today. However, the setup is still valid due to the lack of volatility generated by non farm payroll.
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A bullish Gartley pattern is currently forming on the GBP/JPY 2hr
Chart below. This trade does not conflict with the GBP/USD trade on our swing technicals. The trade has good price symmetry and is currently dropping
with solid time symmetry. For proper time symmetry, we would like the
CD leg to drop with approximately the same slope as the AB leg. This
trade would be invalidated if
it rises to 1.5759 before entering.
We are looking to buy the GBP/USD if it falls to 1.5606 (Point D).
Point D is located at the convergence of the following points:
50% Fibonacci retracement of XA.
127.2% Fibonacci extension of BC.
ABCD pattern.
To recap, we will look to buy the GBP/USD at 1.5606 with our stop
placed at 1.5573. Our initial profit target is 1.5656 (38.2% of CD).
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| 1hr Chart - Bullish Gartley; buy at 1.5606. |
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