Trading_Jazz
Education

The Shark Pattern // Engagement Rules // Educational ®

FX:EURUSD   Euro Fx/U.S. Dollar
8584 20 113
The Shark Pattern.

Traders, This is an update to my previous post related to Harmonic Ratios. (link below)

Safe Trades;
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Advanced Patterns - SHARK

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It might be good to share your tradingview "Trend-Based Fib Extension" setting up please
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Thank you!
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Thank you for sharing :)
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Thanks for following ;)
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Hi

Thanks for the educational setup for the shark. I have just started learning harmonic patterns. I am just slightly confused regarding the B point - the range is 38.2-61.8. Must the candle close in this range even if the wick is outside this range?

I am under the impression AB=CD, if AB doesn't equal CD - is the pattern void??
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Trading_Jazz PRO IshaaqAMirza
Hi, yes, thre's a difference between the wick of a candle and the close price, im taking the close price of a candle and not the wick, that said, we can have extended "wicks" but we need the close price to stay between specific fib ratios.

For an abcd pattern, point D must hit the 127% extension or higher, if CD is equal to AB that is a perfect one.

Thanks for following ;)
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Dear TJ.... in you rules of engagement, Criteria 2, at the bottom....I suppose you are referring to BC move instead of AB move? Also, really liked your explanation on the Harmonic... one day I wish to learn from you as well.
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Criteria 2 is the formation of point C, Point C is an extension of AB leg, it must reach the 113% extension and must close below the 127% by default, sometimes i consider a close around the 141% extension as a point C formation - its like an extended point C, but only when point B formation bounce from the 38% retracement, if it prints a 50% retracement i will look for the normal ratios. Here's the relation between this points in my point of view: Point B retracement at 38% > 141% extension for Point C // Point B retracement at 50% > 127% extension for Point C. Take in consideration this moves as elliott waves, that said, we also know that lower degree corrections turns into strong impulsive legs, and vice versa, larger degree or deeper correction can turn into smaller impulsive legs, that's why point B formation for me is much relevant, that small correction can dictate the next impulive move.
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gcplau Trading_Jazz
Thanks for the insight and guidance. So far as I'm learning Harmonic. Is it true that upon point B & C are formed the type of harmonic will be defined, right? Is it also the reason people trade C to D as well as the D reversal?
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Yes, note that a point B at 61.8% retracement will force you to search for an extension of XA and not from AB, a retracement at 61.8% and an extension of the first move at 127% will forge point C for the Cypher pattern: point B at 61.8% XA >> point C at 127% ext. XA >> and point D at 78% XC - That's the difference between those patterns, the cypher and the shark, point B will define "our" next impulse and what fib ratios price should hit. But there's something crucial when trading all those patterns, at least for me, i will look for cluster zones and not specific fib ratios, if they were hit, fine, but sometimes we will get the 113% extension when it's suppose to hit the 127%, i try to find cluster zones, and cluster zones are "perfect" to detect eventual reversal zones, those are confluence zones between fib extensions and fib retracements from previous major moves, a Bat pattern forged at 88% retracement that is synced with a major 61.8 retracement for instance-- about the point B "issues" take this, its only my point of view...
snapshot
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