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5-0 Pattern

XAU/USD - Harmonic ConfluenceHello, Traders! Today, we have GREAT structure forming on GOLD! Here, we have a bullish shark and a bearish 5-0 pattern. I personally, LOVE these set ups... GOLDEN RATIO X2! Price has temporarily retraced at a support & resistance zone, which is also X point, but the down trend continues. With these types of set up, we ALWAYS look for the DOUBLE PLAY: 1. BUY the Shark 2. CLOSE at the 50% retracement 3. SELL the 5-0 SUPER excited to share this one with you guys and to watch this structure develop with you all. PLEASE set your stop loss appropriately, paired with proper account management. The measurements for a valid shark are detailed below. C: 1.13 - 1.618 D: 1.618 - 2.24 Final X to D: 0.886 - 1.13 Risk:Reward - The measurements for a valid 5-0 pattern are detailed below. B: 1.13 - 1.618 C: 1.618 - 2.24 D: 0.50
OANDA:XAUUSD
by cdschultheis15
1
Syscoin - Bullish 5-0Today we have an excellent buying opportunity for SYS/BTC on the 4h chart with a bullish 5-0 pattern, I'm absolutely loving the look of this setup already! The measurements for a valid 5-0 pattern are detailed below. B: 1.13 - 1.618 C: 1.618 - 2.24 D: 0.50 The B point forming at a solid 1.272 adds to the structure of this pattern. At this current moment in time we are yet to complete the C leg at the minimum 1.618, I have highlighted the two most favourable outcomes if this pattern takes shape. 1. Price will reverse at 7750, therefore, forming a valid C point at the minimum 1.618 before completing the pattern at 5000 and providing an opportunity to go long. 2. Price will reverse at 9900, therefore, forming a valid C point at the maximum 2.24 before completing the pattern at 6075 and providing an opportunity to go long. I will not be buying until the pattern completes! Once we have a C point locked-in I will update the idea :) I hope you all have a great weekend when it comes.
SLong
by LewisGlasgow
22
Inception of Shark pattern 5-0 pattern & bat patternAfter Shark pattern's target , there is a 5-0 pattern. After 5-0 pattern's target, there could be a emerging bat pattern. The fibonacci numbers is not exact true. This image just showing the trade opportunities after shark pattern. In essence the Shark is an emerging 5-0 pattern that you trade from C to target D. (target D is not shown in the diagram above - it's at the confluence of AB=CD and 50% Fibonacci on the BC leg). Following that trade, you then have an interesting sequence of possibilities for further trades. Apart from being a tradeable pattern in its own right, the Shark can also lead onto 3 other subsequent patterns, which you have the possibility to trade one after the other. Firstly, The Shark leads onto the 5-0 pattern. Here is the 5-0 pattern. You can see how the Shark relates to it. (Note that not all 5-0 patterns are preceded by a Shark though). The first target of the Shark is the D of a 5-0 pattern. And now with the 5-0 you have the possibility to enter a trade from the D in the opposite direction of your previous Shark trade. Next, notice that the BCD of a 5-0 pattern often turns out to be the XAB of an emerging Bat or a Crab pattern (with B at 50% XA, it could turn out to be either a Bat or Crab). So now we watch for the emerging Bat or Crab and if a C point is made - if so, then we have the possibility to enter a BAMM trade (trade from price at the B level to target the D of the emerging pattern). But we only enter the BAMM trade if it is in the direction of the prevailing overall trend. Do not trade a BAMM in the counter-trend direction. Finally - whether or not the BAMM trade was taken, we now have the possibility to enter a new trade with the Bat or Crab pattern - if it has formed. That's 4 possible trades all starting with the Shark. As i said - it's one of my favourite patterns. Good Trading!
Education
by XryptoWolfe
NZDCHF ShortTonight at 22:00 (GMT+1; London) we will see the release of the Interest rate decision from the Royal Bank of New Zealand (RBNZ). There is widespread all-but-certainty that this rate will sit static at 1.75% due to to soft economic growth amidst debated inflationary pressures. It has been whispered that depreciation is key to economic growth domestically within the country. Data aside, the Kiwi moved north in a bullish channel on the weekly chart (with some false breaks on the daily timeframe). This channel has now been blatantly broken to the downside- as has support from within the channel, at which point we are now testing as resistance. This move has formed a bearish 5-O, which would come in successful should it follow a bearish decision. Remember, the consensus of 1.75% has already been priced into the market. The market will flow naturally from here-on, unless consensus is not met. I do not normally enter before a decision is made, however, this set up will only turn aggressively bullish should the rate be risen. 5-O Ratios B:1.13-1.618 C:1.618-2.24 D:50%
Short
by KyleMcQuade
BitCoin 5-0 ...What I KnowPerfect reversal from 5-0 PRZ @ 61.8% (2650) with IDEAL RSI confirmation as mentioned in previous posts. I know most understand M&W-Type harmonic patterns but the 5-0 is a different animal. I outlined the identification rules in HTVol2 but I was a bit light on some of the management relationships that are associated with this structure. Here is some clarification: As with all TYPE-I harmonic reactions, we look for the 38.2% target (2450) HITTING NOW! I am watching closely because the EXPECTED HARMONIC REACTION w/ a 5-0 is beyond Target-1 @ the 886 retracement of the CD leg (2200), and then a 1.618 continuation (1900 - where Bat completes). Two Thoughts for this TRADE Setup: 1. Targets are clear with stop at breakeven because continuations SHOULD BE demonstrative. The entry was ideal but no complacency just because the HARMONIC REACTION worked well. 2. Manage the reversal on price and RSI to scale out if no follow through. Position Mgt: __________________ 2650 = 618 ____________________ 2600 STOP YOU ARE HERE 2475 ____________________ TGT I 2200 ____________________ TGT 2 1900 Properly measured harmonic patterns manifest these types of reactions and provide a "cushion" to manage the reversal in ideal situations but require immediate continuation. No follow thru, MANAGE AGGRESSIVELY! Again, this trade setup is an analysis of the harmonic price action - which has been overwhelming lately. Stick to the harmonic #s as they work for YOUR plan.
BITSTAMP:BTCUSDShort
by ScottCarney
10