# Butterfly/Gartley/Crabs/Bats Patterns Indicator

Created at 01 Aug 2013
JS

Joined 01.07.2013

Closed

80.00 EUR

via  Freelancer

##### Job Description

All patterns are formed by five points starting with point X followed by points A B C D.
Bearish patterns have the shape of a W and Bullish patterns the shape of an M

Pattern Structures

Gartley:

The Gartley is a Retracement pattern. That means the X point has some significance.
Namely, the X-point can be a significant Support/Resistance (Demand/Supply) level - and also the pattern is invalidated if the D point exceeds the X point.
Must have an AB // CD pattern that converges in the same area as the .786 Fibonacci on the XA, and also the 1.27 or 1.618 BC
Pattern Symmetry - ideally the number of bars in the AB leg should be the same as the number of bars on the CD leg.
The B point retracement ideally at .618 of the XA leg.

Butterfly pattern

Must contain an AB // CD
B point must be a .786 Fibonacci extension of the XA leg
D point should ideally be a 1.27 Fibonacci extension of the XA leg (for an early reversal ) or a 1.618. Scott Carney maintains the most critical number is the 1.27 XA leg.
D point must not exceed the 2.618 extension of the XA leg.

Bat

A .886 XA retracement to the D point is necessary. The D point cannot exceed the X point - if it does, then the pattern is invalid.
Other Fibonacci levels should be closely grouped in tne PRZ
An extended AB//CD where the CD leg is 1.27 of the AB leg. Although, an AB//CD where AB and CD are the same length is acceptable, but is a minimum for the pattern to be valid.
Minimum 1.618 BC extension to the PRZ. Its preferable if the BC extension is 2.0. Could also be as much as 2.618.
The B point retracement must be less than .618 to be a valid pattern. e.g. B could be 0.5 or .382 retracement of the XA.

Crab

D point defined by a 1.618 Fibonacci extension of the XA
A deep BC Fibonacci extension between 2.24-3.618.
B point retracement to be .618 or less

Thanks.