Thread: 121 pattern examples on Forex market

Location of the pattern is the key! With my approach, 121 pattern is the running correction, the impulse wave to follow, see an example ->

Video example of the 121 bearish pattern:



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Interesting and common scenario when after initial proper reaction on the Gartley (in this case bullish), market fails to reach the reasonable TP level (A point price level) and draws a 121 pattern in opposite direction (in this case bearish). Video presents also the decision point (Gartley will continue or 121 will form) at which trader may decide to enter a trade, and reverse if needed.

another example of the precision of the 121 pattern, if D point is confirmed also by another method (best if a leading method/indicator) these can be traded really with minimum StopLosses.

i like 121 pattern.. the only thing is about targets .. i prefer to place my tp1 in the 50% retracement of the CD leg

If you consider them as running correction the minimum, minimum TP should be on C point price level.
... but I know that some people just take couple of pips assuming there will be always a reaction/short rally on D point price level.

Thanks kor for clearing that up. Even if technically that's the minimum TP, for this pattern I don't feel confortable if I don't take some profits middle way because what I don't like to do is to trail the stop or move to breakeven, at least not till first target is reached.

nice 121 pattern. I always and only look 121 pattern as a running correction, this offers best R:R and the strongest impulse following ->

... but also I would never trade D1 pattern ... too high timeframe, lost time and lost money