Harmonic Pattern

Harmonic patterns are another fractal wave patterns that frequently used by many financial traders. Harmonic patterns are typically made up from two or three triangles (i.e. three price swings or four price swings). The structures of the harmonic pattern are based on the Fibonacci ratios. Hence, some people consider Harmonic pattern as an advanced Fibonacci price patterns.

The history of the harmonic pattern goes back to the Gartley’s book “Profits in the Stock Market” in 1935. At that time, Gartley described the trend reversal pattern on page 222 of his book. The pattern become popular in the late 1990s (Pesavento and Shapiro, 1997). Since then, many traders developed the common interest in looking for the repeating patterns in the financial markets. The harmonic patterns were refined many times in several decades. Harmonic trader emphasizes that the patterns are not only repeating in history but they also follow natural orders. Although few different references exist about the meaning of the natural orders, the natural orders mostly means the periods of the neighbouring waves in the Fibonacci relationship (Pesavento and Shapiro, 1997). Fibonacci ratio derived from Fibonacci numbers are the core relationship used in harmonic pattern identification.


For your trading in Forex and Stock market, we provide the detailed performance for each Harmonic Pattern. You can download PDF file for each pattern from the link below. Or you can visit the YouTube video to check each pattern from the link below. Each PDF or YouTube video will provide you a proof for the Harmonic Pattern. At the same time, you can use this proof to improve the given structure of the Harmonic Pattern.

Gartley Pattern: https://algotrading-investment.com/2022/05/18/gartley-pattern-harmonic-pattern/

Butterfly Pattern: https://algotrading-investment.com/2022/06/20/butterfly-pattern-harmonic-pattern/

Bat Pattern: https://algotrading-investment.com/2022/06/21/bat-pattern-harmonic-pattern/


We also provide the great trading education about Harmonic Pattern. You can have a look at following books to learn how to best use Harmonic Pattern for your trading in Forex and Stock market. From these books, you will also find the X3 Chart Pattern framework that helps you to study, prove and improve Harmonic Pattern to maximize your trading performance.

Guide to Precision Harmonic Pattern Trading

Link: https://algotrading-investment.com/portfolio-item/guide-precision-harmonic-pattern-trading/

Science Of Support, Resistance, Fibonacci Analysis and Harmonic Pattern

Link: https://algotrading-investment.com/portfolio-item/science-of-support-resistance-fibonacci-analysis-harmonic-pattern/

Profitable Chart Patterns in Forex and Stock Market

Link: https://algotrading-investment.com/portfolio-item/profitable-chart-patterns-in-forex-and-stock-market/

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