Trading in harmony, harmonic patterns and price action

[Wookie1985]

Thanks for posting charts. I think it’s great to see what others are looking at, and we all know that preparation is key in this business! Just one note, it’s hard to see the numbers on the chart. Can you either make the attachments clearer, or just post what your entry point is? The only trade i’ve held over the weekend in the last few years was on a daily signal. My plan is to do something similar as to your rules above - obviously want to only hold if i’ve caught the longer term potential trend.

yeah no worries i will post the D point above the pattern. so do you just trade harmonics or do you use other stuff to?

[serioustrader52]

Might find this helpful with the gartley pattern. decent article showing good ones vs bad. in my own opinion i don’t trade the gartley often but i do like the other patterns out there. i think although the gartley is the most well known due to the guy who discovered it many years ago, that when it works in the right specific situation it can be worth while.

ive traded harmonics for quite some time with price action and have always found them effective so glad to see a thread come to life on the subject. can try to help where i can.

[Wookie1985]

Might find this helpful with the gartley pattern. decent article showing good ones vs bad. in my own opinion i don’t trade the gartley often but i do like the other patterns out there. i think although the gartley is the most well known due to the guy who discovered it many years ago, that when it works in the right specific situation it can be worth while.

ive traded harmonics for quite some time with price action and have always found them effective so glad to see a thread come to life on the subject. can try to help where i can.

hey mate and welcome to the thread, please do try and help out, as I’ve stated I’m no expert on the subject. i have traded them for over a year profitably but a year isn’t really anything. and i started the thread so harmonic traders would have a place to share ideas and educational stuff. i mainly trade the bat and cypher. i usually only trade the gartley as a trend reversal pattern

[Bertacci]

I just trade the Gartley and butterfly pattern using 618, 786 and then 1272 and 1618. Funny I’ve had some of my better Gartley trades on retracements with the trend.

[Wookie1985]

I just trade the Gartley and butterfly pattern using 618, 786 and then 1272 and 1618. Funny I’ve had some of my better Gartley trades on retracements with the trend.

i do still trade them with the trend occasionally, like the the cable one i posted earlier. i just find that usually the work out better as reversal patterns for me. how do you go about placing stops on butterflies? do you just use previous structure?

[Bertacci]

For butterflies I will just base the stop on the size of the pattern. My stops are relatively tight in general. Typically a stop for a butterfly may be between 20 and 40 pips.

[Wookie1985]

For butterflies I will just base the stop on the size of the pattern. My stops are relatively tight in general. Typically a stop for a butterfly may be between 20 and 40 pips.

and do you use limit orders to enter or do u look for reversal signals in the PRZ?

[firecapt]

Glad to see this thread. I love using harmonics. Will visit from time to time. Here are two charts to view.

[Wookie1985]

@firecapt

Glad to see this thread. I love using harmonics. Will visit from time to time. Here are two charts to view.

hey mate welcome to the thread, please drop by anytime you like. one thing though if you could post the pair and timeframe with your charts that would be brilliant

[Bertacci]

and do you use limit orders to enter or do u look for reversal signals in the PRZ?

Yes limits. I’m careful around econ numbers obviously, and also if there are wide bars, I will be hesitant to enter.

[Bertacci]

Looks like GBPUSD didn’t quite hit the 786 early this a.m. I was bid just above at 02.

[Wookie1985]

@Bertacci

Looks like GBPUSD didn’t quite hit the 786 early this a.m. I was bid just above at 02.

yeh same it missed my entry by 3 pips then ran 150, unfortunate but hey ho

[Bertacci]

Might find this helpful with the gartley pattern. decent article showing good ones vs bad. in my own opinion i don’t trade the gartley often but i do like the other patterns out there. i think although the gartley is the most well known due to the guy who discovered it many years ago, that when it works in the right specific situation it can be worth while.

ive traded harmonics for quite some time with price action and have always found them effective so glad to see a thread come to life on the subject. can try to help where i can.

Interesting link. Do you know where this comes from? Are they real traders?

[Wookie1985]

@Bertacci

Interesting link. Do you know where this comes from? Are they real traders?

i thinks its from fxgroundwork.com, yeah they’re real traders and seem to be pretty good, they do a course they charge way too much for but their free stuff is pretty interesting

[krugman25]

@Wookie1985

i thinks its from fxgroundwork.com, yeah they’re real traders and seem to be pretty good, they do a course they charge way too much for but their free stuff is pretty interesting

Had to laugh to myself on that comment, seems to be a pretty common theme for Forex learning material. I am curious, what do they charge?

[Wookie1985]

Had to laugh to myself on that comment, seems to be a pretty common theme for Forex learning material. I am curious, what do they charge?

yeh i know its ridiculous, why can’t they just teach people or charge a lot less. they actually charge $350 a month!!!

[krugman25]

A few questions:

If your new to harmonics like me what would you say are the 2 or 3 patterns that a beginner should learn first?

I am sure it varies from pattern to pattern, but what is the average risk/reward that someone could expect to achieve with harmonics?

[krugman25]

yeh i know its ridiculous, why can’t they just teach people or charge a lot less. they actually charge $350 a month!!!

My mind was just blown :o haha. I personally don’t mind a reasonable fee for value add material (stuff not found for free in a few hours on google). A fee that is half of an average persons mortgage payment, that’s quite crazy. Someone better be flying to my state and doing 1 on 1 training with me for that, and maybe even doing my laundry, lol.

Another reason for me to say thank you sir for offering your time and knowledge freely here.

[Wookie1985]

A few questions:

If your new to harmonics like me what would you say are the 2 or 3 patterns that a beginner should learn first?

I am sure it varies from pattern to pattern, but what is the average risk/reward that someone could expect to achieve with harmonics?

for me The Bat and The Cypher are the two best patterns to start with, the ratios are fairly simple, especially the cypher and the bat has very good RR. on average with those two if you just trade two positions with the .382 and .618 retracements of the C-D leg as targets the average RR is around 1:2. a Bat with 1:3 has just completed on EURGBP but its a little to late in the day for me to be taking any more trades, if the market opens without to much of a gap i might well take it on sunday night/monday morning

[Wookie1985]

My mind was just blown :o haha. I personally don’t mind a reasonable fee for value add material (stuff not found for free in a few hours on google). A fee that is half of an average persons mortgage payment, that’s quite crazy. Someone better be flying to my state and doing 1 on 1 training with me for that, and maybe even doing my laundry, lol.

Another reason for me to say thank you sir for offering your time and knowledge freely here.

ha yep i completely agree, i don’t think mowing the lawn, cleaning the house etc… would be out of the question either.

and the same sentiments to you my friend. i think teaching for free is one of the best things you can do