Bullish Shark Harmonic Pattern
Characteristics:
1. Pattern Structure:
- OX Leg: The initial leg (OX) is the first move in the pattern.
- Retracement: The price retraces between 88.6% to 113% of the OX leg.
- Point C: This is the potential entry point for a buy trade.
2. Entry Point:
- Buy at C: Traders typically enter a long position at point C, which is after the retracement between 88.6% to 113% of the OX leg.
3. Take Profit:
- The take profit level is usually set at the 113% to 161.8% retracement of the OX leg. This is where the price is expected to reverse or continue in the direction of the initial trend.
4. Stop Loss:
- The stop loss is generally placed just below the entry point (point C) to minimize potential losses if the trade goes against the expected direction.
Bearish Shark Harmonic Pattern
Characteristics:
1. Pattern Structure:
- OX Leg: The initial leg (OX) is the first move in the pattern.
- Retracement: The price retraces between 88.6% to 113% of the OX leg.
- Point C: This is the potential entry point for a sell trade.
2. Entry Point:
- Sell at C: Traders typically enter a short position at point C, which is after the retracement between 88.6% to 113% of the OX leg.
3. Take Profit:
- The take profit level is usually set at the 113% to 161.8% retracement of the OX leg. This is where the price is expected to reverse or continue in the direction of the initial trend.
4. Stop Loss:
- The stop loss is generally placed just above the entry point (point C) to minimize potential losses if the trade goes against the expected direction.
