HARMONICS - Harmonic patterns were discovered by H.M. Gartley in 1932.
Later the theory was developed by Larry Pesavento, who wrote a book Fibonacci Ratios with Pattern Recognition.
Harmonic patterns are similar to chart patterns like
“Head and shoulders” in a sense that they are based on a specific shape of price action.
NOW LOOKING AT SRF CHART
WHAT IS MY OBSERVATIONS
1- AS PER THE PRICE ACTION - I COULD FIND OUT A HEAD AND SHOULDER PATTERNS WHICH ITSELF IS A QUITE
DECENT PATTERN,
TO TRADE
2- THEIR IS A STRONG TRENDLINE WHICH HAS BEEN ACTING AS A RESISTANCE
3- IT IS A POINT OF CONFUENCE WHERE IN THE HORIZONTAL RESISTAND AND
VERTICAL RESISTANCE IS GETTING FORMULATED
4 we could see a clean pattern of harmonics which is called as Bearish Bat pattern
Combining all the looks like SRF COULD SHOW SOLID STRENGTH
All the above is my personal study, the intent on this chart is not to give you any tips/calls
if you could understand the logic and see if they work in this market
Stay Tuned for next chart
All the best
Later the theory was developed by Larry Pesavento, who wrote a book Fibonacci Ratios with Pattern Recognition.
Harmonic patterns are similar to chart patterns like
“Head and shoulders” in a sense that they are based on a specific shape of price action.
NOW LOOKING AT SRF CHART
WHAT IS MY OBSERVATIONS
1- AS PER THE PRICE ACTION - I COULD FIND OUT A HEAD AND SHOULDER PATTERNS WHICH ITSELF IS A QUITE
DECENT PATTERN,
TO TRADE
2- THEIR IS A STRONG TRENDLINE WHICH HAS BEEN ACTING AS A RESISTANCE
3- IT IS A POINT OF CONFUENCE WHERE IN THE HORIZONTAL RESISTAND AND
VERTICAL RESISTANCE IS GETTING FORMULATED
4 we could see a clean pattern of harmonics which is called as Bearish Bat pattern
Combining all the looks like SRF COULD SHOW SOLID STRENGTH
All the above is my personal study, the intent on this chart is not to give you any tips/calls
if you could understand the logic and see if they work in this market
Stay Tuned for next chart
All the best