EURO /USD Chart Reading
Trading the Gartley pattern
The Euro found support at the 100 % Fibonacci Extension Cluster/ Gartley pattern projection yesterday and moved up from the target of the Gartley Pattern to the daily 10 SMA. From there, market moved lower with strong bearish momentum and created a new daily low.
On the 4 hour chart the EUR/USD continued its downward trend with the beginning of the new 4-hour candle at 12 a.m. after the previous candle closed at the 10 and 20 SMA Support level (Breakout Timing).
The Euro found support at the daily S2 after clearing the stops below the important low of September the 10th (thick orange line). However, so far market did not close below this daily support (see hourly chart).
|Gartley Techncial Chart pattern|
|4 hour Euro 100 % Fibonacci Extension|
|1 hour Euro Dollar Technical Chart Analysis|
Technical Chart Analysis of the day before
The Gartley chart pattern
played out well. Currently, the EUR/USD is holding at the Fibonacci Support zone, which consists of the two 100 % Fibonacci Extension levels. Furthermore, this support zone coincides with the Daily S1 and the consolidation price zone of the prior consolidation pattern on the left side of the Euro US Dollar Chart. We also had a nice Doji Candlestick chart pattern on the EUR USD.
The red circles on the daily Euro chart mark some Breakout Timing Strategy, whereby market closed at the support level with a bearish candlestick (20 SMA and daily support level) and breached support with the new daily candle.
|Gartley Chart Pattern, Doji, Breakout Trading Strategy|