ABCD pattern question

hey all, i was wondering if i was calculating this correct as i am not even out of the school yet and i thought i would get a little bit of help because i don’t think the school was as accurate as could be with gartley and the animals lol or maybe im just stupid haha.

hopefully i can finally figure these things out because i want to begin using them just like Sweetpip and Tmoneybags lol.

thanks, Zak

Hi Zak,
Well…the AB=CD pattern means that CD leg should be at least equal to, if not more than, the range of the AB leg…in your example the CD isn’t.

Keep at it :slight_smile:

School is pretty accurate. Gartleys and the animals are just ABCDs with a swing high or low infront of them (the X). The first part of your ABCD is correct but the second is not. You need to draw fibs from B to C to find where D should be (1.272 extension). Also, the harmonic patterns are accurate, you just need to correctly identify which pattern is forming. Another thing some people look for in an ABCD is AB=CD in terms of length. Keep practicing and you’ll get the hang of it.

thanks guys that pretty helpful information, i just don’t think i understood the school as much as i should have hopefully thats not a sign that im not worthy of forex haha.

sorry for double post but i have just realised that it could be possible for a to be x as in the swing high and the d could be calculated from that?

edit: looking at wrong chart when posted this lol.

And this would be wrong because D doesn’t fit into 1.272 fib ext or the AB=CD rule?

You’ll typically be looking for nice symmetry with an AB=CD pattern. Here’s one I was looking at back in June which was almost at completion when I drew the pattern:

With Gartleys, etc. your X point can be quite a bit higher / lower than the other 4 points but it’s still nice the pattern to have an AB=CD pattern as part of it - apparently these are more reliable or so I’ve heard. Here’s an EUR/USD one from back in June that worked out:

I think i’m beginning to get it haha, thanks PipBandit! I think i’m onto something but im not sure, i’m going to go back to the school and reread and renote about it. I am currently not even finished the school, i’m trying my best though.

It’s too early to say with your last attachment whether an ABCD will form. Monitor it for a bit and see if price continues to drop - if it does a CD leg might start to form. Do a fib extension then from point C and see how it looks at that point.

If you’re looking for AB=CD patterns it’s best to look for something that’s underway. Look for that zig-zag shape that’s already started so you can project a possible completion point for the pattern.

i have another pattern i think i’ve spotted, any help would be appreciated i have created a symmetry of AB=CD and it lies around the 1.272 mark.

I really appreciate the help guys I think its better coming from a person :smiley:

Edit: i’ve let the trend carry on and as its developed i’m not sure if i’ve saw a fakeout or just a spike in the charts?

Is it possible to identify the stocks which exhibit ABCD pattern , gartley pattern thro some software or scanner? I am a new bee . I hv no idea abt metastock/amibroker? pls. help

hey Zak, I was wondering what trading station do you use? Thanks. Dan.

Hi sweetpip, I was hoping to get a clean chart like Zak here has displayed in this example. most of the platforms i have seen and worked with are too complex looking and annoying. Would you know what he is using? or would you have a suggestion of your own? I am with fxcm right now paper trading on their trading station for past two years, its ok…but somehow not simple enough. Any ideas would be greatly appreciated. Thanks. Dan.

Pattern just failed to complete the fib levels. Not all patterns will be formed. Don’t force it if you want to go to the harmonic route.

Remember, there are certain rules to certain levels. If the retracement from AB is 0.62, then we should expect the next leg, CD, to retrace to 1.618levels from the fib levels of BC.

Same goes with 0.786 to 1.27

Hi Lejo,

Welcome to the forum!

Testing out different charts is a great idea to see what’s the best fit for you. Each platform will have its own strengths. Since you mentioned Trading Station, I wanted to make myself available to you to answer any questions you have about the platform :22:

For example, if you wanted a chart that looks similar to the one in Zak’s example, you can do that on Trading Station as seen below.

To make Trading Station charts white, right click on the charts and go to Options.

Then in the Options window, go to Color Schemes and select Light (White).

Let me know if you had any other questions about configuring the Trading Station charts, and feel free to hit me up in the Broker Aid Station.


Hi Pipbandit,

wonder if you could advise what software i can use to draw the ABCD Pattern?

am totally new to drawing on the MT4 platform.


would a good rule of thumb to spot the beast be that alternate lines (in simple terms) as in ab and cd be at the same angle aka parrallel(ish) to each other?nes pas?


Hi all

What happens with targets when using ABCD. Is it similar to other patters, do I do a fib retrace of A-D then use 382 & 618 as targets?

Doesn’t get better than this. Check out the u/c daily chart. Looks like a perfect setup for the ABCD pattern happening now! My only concern is CD is slightly longer than AB but other than that the fibs confirm it is very very close.