USD/CHF Bearish Gartley Pattern Indicates Potential Downtrend
Updated
The USD/CHF currency pair is forming a Bearish Gartley Harmonic Pattern, signaling potential downward movement. This pattern is aligning with a key resistance area, adding further confluence to our bearish outlook.
Key Resistance and Trendline Confluence:
Price action has shown a strong rejection at a key resistance level, which coincides with a downward trendline and the 78.6% Fibonacci retracement level. This confluence of technical indicators strengthens our bearish sentiment for the USD/CHF pair.
Entry and Stop Loss:
Given the current market conditions and the formation of the Bearish Gartley Pattern, our entry point is set at 0.89442. To manage risk, a stop loss is placed at 0.89864, slightly above the resistance area to account for potential market fluctuations.
Take Profit Levels:
We have identified three key take profit levels based on historical support areas and Fibonacci extensions:
Analysis Summary:
The alignment of the Bearish Gartley Harmonic Pattern with the key resistance area, trendline, and the 78.6% Fibonacci level provides a high-probability trading opportunity. The rejection at these confluences suggests potential bearish momentum, making this a suitable trade setup with well-defined entry, stop loss, and take profit levels.
Traders should monitor the price action closely around these levels to adjust positions as necessary.
Key Resistance and Trendline Confluence:
Price action has shown a strong rejection at a key resistance level, which coincides with a downward trendline and the 78.6% Fibonacci retracement level. This confluence of technical indicators strengthens our bearish sentiment for the USD/CHF pair.
Entry and Stop Loss:
Given the current market conditions and the formation of the Bearish Gartley Pattern, our entry point is set at 0.89442. To manage risk, a stop loss is placed at 0.89864, slightly above the resistance area to account for potential market fluctuations.
Take Profit Levels:
We have identified three key take profit levels based on historical support areas and Fibonacci extensions:
- TP-1: 0.89020
- TP-2: 0.88598
- TP-3: 0.88176
Analysis Summary:
The alignment of the Bearish Gartley Harmonic Pattern with the key resistance area, trendline, and the 78.6% Fibonacci level provides a high-probability trading opportunity. The rejection at these confluences suggests potential bearish momentum, making this a suitable trade setup with well-defined entry, stop loss, and take profit levels.
Traders should monitor the price action closely around these levels to adjust positions as necessary.
Trade closed: target reached
TP-1, TP-2 hit, We missed the TP-3 by a few pips.
Hold your trade with Trailing Stop Loss if you are aiming for the TP-3
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