A Bearish TRG Pattern recently completed on Hartford Finacial Services Group Inc. (HIG). What does TRG stand for? In The Gartley Trading Method: New Techniques to Profit from the Markets Most Powerful Formation, the Gartley Pattern is categorized into two groups; the Trend Reversal Gartley (TRG) and the Trend Continuation Gartley (TCG.) The difference between the two has to do with the price and volume action that precedes the X point of the pattern. In H.M. Gartley's book Profits in the Stock Market, he identified a significant trend prior to the X point of the pattern.
In the example above, the 100% price extension lands right beside the 78.6% Fibonacci retracement. This projection confirms that if HIG hits the 78.6% Fibonacci retracement, then the TRG78.6 is complete at the Fibonacci retracement at 29.59. In the Geomeric Trading Course - Initiate Level I, we identified this trade 4 days in advance. We posted the setup on Friday April 29th and on May 3rd, the high of the day was 29.59!! Since then HIG has declined more than 10% in two weeks. To learn more about the Gartley Pattern and the Geometric Trading Course, go to www.geometrictrading.com
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