The pattern incorporates the 0.886 XA retracement, as the defining element in the D area. The B point retracement must be less than a 0.618, preferably a 0.50 or 0.382 of the XA leg. The Bat utilizes a minimum 1.618 BC projection. In addition, the AB=CD pattern within the Bat is extended and usually requires a 1.27 AB=CD calculation
Bearish Crab The critical aspect of this pattern is the tight D point created by the 1.618 of the XA leg and an extreme (2.24, 2.618, 3.14, 3.618) projection of the BC leg but employs an 0.886 retracement at the B point unlike the regular version that utilizes a 0.382-0.618 at the mid-point. The pattern requires a very small stop loss and usually volatile price...