STAGE 1: THE BULLISH IMPULSE LEG A bullish impulse leg is a strong move in price action to the upside. The impulse leg can be a mixture of bullish and bearish candles, but must have a bullish overall direction. The start of the impulse leg should be marked as X and the top of the impulse leg should be marked as A. STAGE 2: B LEG RETRACEMENT Now that...
"Since the beginnings of technical analysis, classical technical patterns have been repeating over and over in all time frames and in all markets. It’s interesting that these patterns have not changed in centuries. They are truly a reflection of crowd psychology. Many times you will see the structures of the patterns form with exact Fibonacci ratios. Adding the...
The Three Drives Pattern by Larry Pesavento and Leslie Joufla. Check other published charts... Safe Trades; open.spotify.com
By LARRY PESAVENTO & LESLIE JOUFLAS HISTORY OF THE BUTTERFLY PATTERN: Bryce Gilmore Bryce has spent a lifetime studying the works of the great masters—R.N. Elliott , W.D. Gann, and many others. He developed the Wave Trader Program in 1988; it was the first computer program to use all the numbers of sacred geometry, including the Fibonacci summation series....
In my last post here, I posted an analysis on this pair in which i suggested that it is possible that this pair is about to turnaround and take off to the upside for a large wave (c) move. Here is that post: The purpose of this post is not to provide any possible trade call although a good trade based off this tutorial is possible. The reason I am making this...
The Three Drives patterns is one of the most powerful patterns i have encountered. : Bearish Three Drives pattern . 1) First wave is a normal bearish wave, then followed by correction 2) second wave is another bearish wave that extends beyond the first wave low and reach the 1.27 Fibonacci extension for the first pullback(AB on chart) 3)Then the most important...
The 3 Drive pattern is a 5-leg pattern. In a perfect 3 Drive pattern the XA leg will be a 0.618 to 0.786 retracement of the OX leg, the AB leg will be either a a 1.272 or 1.618 extension of the XA leg, the BC leg will be a 0.618 to 0.786 retracement of the AB leg, and the CD leg will be either a 1.272 or 1.618 extension of the BC leg. Also, the three drive legs...
Educational Study: This is an example of how you combine Gartley Pattern and 2618 Trade Together 1 Long the Gartley Entry: 2. Take Profit at TP1 AND TP2 3. Short at 0.618: 0.6790, SL: 0.6903, TP1: 0.6620 TP2: 0.6480 4. Look for RSI Over Bought and Trend Line Retest.
Hi All, I wanted to share this with you explaining Cypher Pattern. On the left are steps required for valid Cypher, and the right Pane is the Stops and Targets First I will explain the numbers I have noted on the charts, this is a standard procedure I follow 1. Recognized Structure - Potential X to A leg 2. A Leg is now formed 3. B Leg and lets see how far...
1) AB movement should be 1.13 to 1.618 but not more than 1.618 extension of XA LEG. BC movement should be 1.618 to 2.24 extension of an AB LEG CD movement should be 0.5 retracement of BC LEG 2) Stop loss: It varies but I prefer few pips below 61.8 retracement of CD 3) Take profits : It varies too But I prefer 38.2% and the 61.8%. Entries might be done with a...
iMPULSE LEG: Wave 2 = 61.8% of wave 1 (Prices usually do not retrace more than 61.8% of the wave 1 gains; Can never exceed the start of wave 1); wave 3 = 161% ext of wave 1 (can never be the shortest impulse wave); wave 4 = 38.2% of wave 3 (can never overlap wave 1 ); wave 5 = wave 1 CORRECTiON: Wave A = usually around the 50% or 61.8% of wave...
Hi Traders, After more positive feedback received from the Gartley & Bat Pattern explanation, I have drawn the final illustration explaining my interpretation of the Cypher Pattern For those who have not yet seen the explanation for the Gartley or Bat Pattern I have attach the link in the comment section below. Above Is an illustration of a complete Cypher...
Hi Traders, After the very positive feedback received from the Gartley Pattern explanation, I have drawn another illustration this time explaining my interpretation of the Bat Pattern For those who have not yet seen the explanation for the Gartley Pattern I have attach the link below. Above Is an illustration of a complete Bat Pattern and the rules and ratios...
Hi All, I recently have been asked to publish this diagram for executing a 2 target order. I have labeled the diagram with order sequence in a perfect world scenario. Steps below relate to numbers on chart I am not telling you this is how everyone does it and this is only based on the questions I have been asked, every strategy has its own order entries stops...
Hello, everyone. Welcome back to another edition of "thoughts about bat pattern". Today we'll continue discussing bat pattern types. We'll look at SNSI and SFSI types. They are very similar to HSNSI and HSFSI I talked in my last edition: As you see the difference is only in XA leg. With that being said let's skip to some statistics. As usual I will first remind...
Hey, traders. Welcome back to another edition of "thoughts about BAT pattern". Today we'll continue to discuss bat pattern types. We already know about Four types: HSNSP see it here: SNSP see it here: HSFSP see it here: SFSP see it here: These four have two common features. Their CD leg is not interrupted by a retracement more than 0,382AB and their...
Hey, traders. I’m back and we have another edition of “Thoughts about Bat pattern”. Today we’ll continue discussing bat pattern types. I’ll talk about HSFSP and SFSP types. First, I will remind you average success rate of bat pattern. One has this rate if he trades EVERY bat he can find. As usual, three pairs for illustration: On eurusd it is 53,52%, gbpusd –...
Welcome back, traders. It’s Wednesday and we have another edition of “Thoughts about Bat pattern”. Today we’ll continue discussing bat pattern types. Today we’ll talk about SNSP type. SNSP bat type is the most perfectly looking bat type. Let’s decode the name. “S” – XA is not interrupted by a deep (at least 0,382AB) retracement. “N” – BC is straight. “S” – A and C...