PRZ (potential reversal zone)

Example

Suppose that in a bullish Gartley the 0.786 retracement of XA lands at $60.70, the AB=CD completion at $60.20 and the 1.272 projection of BC at $59.90, so the PRZ runs from $59.90 to $60.70. Instead of buying the first touch of $60.70, a trader waits for a closed reversal candle, such as one that dips to $60.05 and closes at $60.95. A close below $59.90 would mean the zone failed.

Hypothetical numbers, for illustration only.