GBPNZD (Butterfly Pattern) - 4h Chart
Updated
Bullish Butterfly Pattern
- A-B must touch 0.786, but cannot exceed X
- B-C touches 0.382, but sometimes goes further (does not exceed A)
- ABCD formation. D has to reach outside X and touch 1.272 or 1.618
- First TP at 0.618 (Fibo D-A)
- Second TP at 0.382 (Fibo D-A)
- Third TP back to where it all started at top
Left Leg:
We can see an ABCD pattern been completed inside left leg
- 4 clear points
- consolidation between B and C
- clear resistance at point D for bearish movement
Right Leg:
After ABCD pattern there was a bullish impulse for point C of Butterfly Pattern, this iniciated a bearish Elliott Impulse
- 5 clear points
- 1 and 4 don't overlap
- 0-1 same distance as 4-5
At this point point 5 gave us D completion at 1.618 for bullish movement, but there has to be some type of consolidation at this area after so much movement, trade well and look for bullish entries.
Good Trading. - 4h Chart
- A-B must touch 0.786, but cannot exceed X
- B-C touches 0.382, but sometimes goes further (does not exceed A)
- ABCD formation. D has to reach outside X and touch 1.272 or 1.618
- First TP at 0.618 (Fibo D-A)
- Second TP at 0.382 (Fibo D-A)
- Third TP back to where it all started at top
Left Leg:
We can see an ABCD pattern been completed inside left leg
- 4 clear points
- consolidation between B and C
- clear resistance at point D for bearish movement
Right Leg:
After ABCD pattern there was a bullish impulse for point C of Butterfly Pattern, this iniciated a bearish Elliott Impulse
- 5 clear points
- 1 and 4 don't overlap
- 0-1 same distance as 4-5
At this point point 5 gave us D completion at 1.618 for bullish movement, but there has to be some type of consolidation at this area after so much movement, trade well and look for bullish entries.
Good Trading. - 4h Chart
Note
First TP reached
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