Harmonics Trading: What Are The Important Things To Know Before Start Trading?

by Traders Gurukul Stock Market Training Institute

The Harmonics trading patterns are based on the pursuit of certain formations that are repeated in graphs. These patterns must respect certain proportions, mostly Fibonacci proportions. The harmonic trading came from traders operating in commodities. There are different criteria in which the ideal proportions of each pattern are concerned. There are some very exact measurements but the figures change as the price progresses. A trading professional with years of experience can easily track the patterns.

Would you like to become a professional trader too? Before you join Harmonics trading course, it would be ideal if you get some knowledge in advance.


It is the simplest pattern and the base pattern. The technique is based on replicating a movement that is repeated, just like in Elliot waves. Its base is two segments of the same size, separated by a minor movement in the opposite direction. The segment connecting points A and B will be the same size as the segment connecting points C and D.

Gartley pattern

It is the classic harmonic pattern par excellence. The perfect Gartley includes an AB = CD within its formation. The area between the level where AB = CD and the 78.6 retracement of XA will be the potential reversal zone. A D entry with tight stops will always be sought.


The butterfly possesses reassembles AB = CD, in which CD is usually a projection of the 127 or 161.8 of AB. The most important level is receding the 127% of XA at point D. If this level is exceeded, the 161.8% retracement of XA will be the most reliable level. An extreme correction from BC that coincides with the 127% or 161.8% of the XA retracement marks an especially likely turning zone.


This pattern is the most modern of all those we have named. The bat is one of the most precise patterns out there, which will allow us to place the Stop Loss in a very tight range at the entry price. This pattern is characterized by a correction of 88.6% of XA in D, and the segment AB must correct less than 61.8% of Fibonacci of XA.

Ideas to keep in mind

Many people try to make the stock market complex, but the most important thing is to keep our analysis simple. Using this series of patterns has certain advantages such as objective analysis and the possibility of automating our system. But it also has disadvantages if you don’t know the use of very sophisticated techniques that require deep knowledge. We have to know the asset very well and what kind of patterns it responds best. Of course all these patterns are not always exact, but the more exact they are, the more likely the price turn will be. Harmonics trading course will help you to learn how to measure these patterns and keep your investment safe during trading. We cannot base our analysis and our operations only on these patterns. We have to complete it, either with other indicators, with correlations or with macroeconomic analysis, etc. The timeframe is very important.

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Created on Mar 18th 2021 00:31. Viewed 345 times.


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