Harmonic Pattern Scanning with Live Reversal Tracking and RSI Confirmation

Summary

The scanner describes a two-scale harmonic-pattern search: it looks for larger wave structures first, then checks smaller ones when broader price action is noisy. Rather than waiting for a candle pivot to be confirmed, it tracks the developing wick at point D and updates Fibonacci ratios as price enters a potential reversal zone. An RSI threshold cross is required alongside the pattern before a bullish or bearish signal is issued.

After a signal, the indicator plots two profit objectives at 38.2% and 61.8% retracements of the A-to-D leg, plus a stop placed 20% beyond point D’s structural size. These are design rules, not evidence of profitability: the document supplies no test results, instrument or timeframe specification, or detailed definitions of the RSI thresholds and pattern validation. Live tracking may give earlier indications but also means the setup can change before the candle closes.

Key ideas

• The scanner searches both major and minor harmonic waves, prioritizing the larger structure.
• Point D follows the current candle wick, so Fibonacci ratios can change while the candle is forming.
• An RSI threshold cross is required to confirm a pattern signal.
• The tool plots retracement targets at 38.2% and 61.8% of the A-to-D leg.
• The stop is positioned 20% beyond point D’s structural size, but no performance evidence is provided.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.