Here are some of the main points about harmonic patterns 

• The patterns are composed of Fibonacci numbers and ratios, which form geometric price patterns

• There are many different patterns, each of which corresponds to a different kind of trend

• The patterns can be split into two categories: bearish and bullish

• Examples of harmonic patterns include ABCD, Gartley, Butterfly, Crab, and Deep Crab

• Harmonic patterns are considered useful for forecasting price changes and reversals

• They can be used in conjunction with other technical analysis tools and techniques

Harmonic Patterns: Unlocking the Secrets of Geometric Price Movements 

Key Principles:

• Fibonacci Ratios: Harmonic Patterns rely heavily on Fibonacci ratios (23.6%, 38.2%, 50%, 61.8%, etc.) to identify specific price levels and relationships.

• Geometric Shapes: Harmonic Patterns form specific geometric shapes, such as triangles, rectangles, and expansions, which provide insight into market dynamics.

• Symmetry: Harmonic Patterns are symmetrical, meaning that they can be applied to both bullish and bearish markets.

• Predictive Power: Harmonic Patterns help traders anticipate potential price movements, reversals, and trend continuations.

Types of Harmonic Patterns:

• ABCD: A basic harmonic pattern that forms a triangle shape.

• Gartley: A bullish or bearish pattern that forms a specific geometric shape.

• Butterfly: A pattern that forms a butterfly-shaped structure.

• Crab: A pattern that forms a crab-shaped structure.

• Deep Crab: A variation of the Crab pattern.

How to Use Harmonic Patterns:

• Identify Patterns: Use Fibonacci ratios and geometric shapes to identify Harmonic Patterns.

• Set Entry and Exit Points: Use the patterns to set entry and exit points for trades.

• Confirm with Other Tools: Use other technical analysis tools to confirm trading decisions.