The Alternate Bat pattern is a precise harmonic pattern discovered by Scott Carney in 2003. The pattern incorporates the 113% XA retracement, as the defining element in the Potential Reversal Zone (PRZ). The B point retracement must be a 38.2% retracement or less of the XA leg. The Alternate Bat utilizes a minimum 200% BC projection. In addition, the AB=CD pattern within the Alternate Bat is always extended and usually requires a 161.8% AB=CD calculation.
I am publishing this idea late again due to the Hectic day on EU yesterday.
The Alternate bat like the Butterfly and Crab is a reversal pattern that should if not followed by a reversal pattern counter to its direction break above/below the pattern.
However in this instance I believe there to be a Bearish butterfly pattern being formed within the target levels of this pattern. I will attempt to publish this butterfly pattern prior to entry.
The confluence of factors, the Head and Shoulders (1H), the previous Butterfly (15m) should apply enough bearish pressure to stop the Alt Bat from reaching TP3 or even breaking above the pattern.
I am publishing this idea late again due to the Hectic day on EU yesterday.
The Alternate bat like the Butterfly and Crab is a reversal pattern that should if not followed by a reversal pattern counter to its direction break above/below the pattern.
However in this instance I believe there to be a Bearish butterfly pattern being formed within the target levels of this pattern. I will attempt to publish this butterfly pattern prior to entry.
The confluence of factors, the Head and Shoulders (1H), the previous Butterfly (15m) should apply enough bearish pressure to stop the Alt Bat from reaching TP3 or even breaking above the pattern.
Trade closed: target reached
