This is a 4 legged reversal pattern and idea is to get in at the end of this pattern if you are going long...if you know the pattern well, you can trade every leg by going long then short...
The cypher is recognized by C being higher than A and D being higher than X. The point of completion zone is at D and this level is often retested. Often you will see volatility at the PCZ. D should be close to the 0.786 of XC (Not XA) and B can retrace anywahere from 0.38 to 0.618 of XA..so to find D you could place your fib table to encompass entire pattern and look for the 0.786 (nothing is exact but in the proximity) and be sure it stops there (hard part) (o: You have ruled out several other patterns because C is above A. There are several ways to figure this out and it almost gives you a headache explaining so I will stop now..lol..Note XC is NOT XA (o: I feel like I am back in algebra class for some reason!
B needs to retracebetween 38.2 and 61.8 percent of XA, at least 38.2 percent, but not exceeding 61.8 percent (Wide range and at this point you do not know which pattern this is)
So although the Cypher pattern makes sharp reversals, the trend is still upwards.
Learning harmonic patterns is challenging but worth it in the long run for me. I enjoy it and was always pretty good in math (for a girl)
Possible stop below X, or D, or last pivot low, or where you feel comfy..I see pivots at all the points in this pattern (X,A,B,C) except D according to the pivot tool I am using on here. So keep an eye on it as retests are always possible..
Not a recommendation
The cypher is recognized by C being higher than A and D being higher than X. The point of completion zone is at D and this level is often retested. Often you will see volatility at the PCZ. D should be close to the 0.786 of XC (Not XA) and B can retrace anywahere from 0.38 to 0.618 of XA..so to find D you could place your fib table to encompass entire pattern and look for the 0.786 (nothing is exact but in the proximity) and be sure it stops there (hard part) (o: You have ruled out several other patterns because C is above A. There are several ways to figure this out and it almost gives you a headache explaining so I will stop now..lol..Note XC is NOT XA (o: I feel like I am back in algebra class for some reason!
B needs to retracebetween 38.2 and 61.8 percent of XA, at least 38.2 percent, but not exceeding 61.8 percent (Wide range and at this point you do not know which pattern this is)
So although the Cypher pattern makes sharp reversals, the trend is still upwards.
Learning harmonic patterns is challenging but worth it in the long run for me. I enjoy it and was always pretty good in math (for a girl)
Possible stop below X, or D, or last pivot low, or where you feel comfy..I see pivots at all the points in this pattern (X,A,B,C) except D according to the pivot tool I am using on here. So keep an eye on it as retests are always possible..
Not a recommendation