Gartley 222 Pattern #10

Gartley 222 Pattern #10

1. The pattern should easily be identified. If you have to force the numbers, it is probably not this pattern.

2. Symmetry is the key to this pattern. Points 2 and 3 should be 1.27 or 1.618 price expansions of the A and C swings.

3. The time frames from point A to 2 and C to 3 should be symmetrical.

4. If there is a big price gap in this pattern at any time it is a sign that the 3 drive pattern is wrong and the trader should wait for further confirmation that a bottom is in progress.

5. Price swings A and C will usually be at the .618 or .786 retracement of the previous swing. When the market is in a free fall (exhaustion) these retracements will only be .382.

6. Three drives to a bottom is a rare pattern. After you start to see this pattern, it will be much easier to interpret. Don't search for the pattern, it should jump out at you as you study the chart.