TRB/USDT

5월 20일

The bearish AB=CD pattern is a harmonic price pattern used to identify potential market reversals. It consists of four points (A, B, C, and D) and two equal-length legs (AB and CD) that form a specific geometric structure. Here’s a brief overview:

Structure of the Bearish AB=CD Pattern

1. **AB Move**: An upward price movement from point A to point B.
2. **BC Retracement**: A downward retracement from point B to point C, typically 61.8% to 78.6% of the AB move.
3. **CD Move**: An upward move from point C to point D, equal in length to the AB move.
Key Characteristics

- **AB = CD**: The AB and CD legs should be of equal length.
- **BC Retracement**: Should be between 61.8% and 78.6% of the AB move.
- **CD Extension**: Often 127.2% or 161.8% of the BC leg.
Trading the Bearish AB=CD Pattern

1. **Entry Point**: Enter a short position near the completion of the CD leg (point D).
2. **Stop Loss**: Place a stop loss just above point D.
3. **Target**: Set initial profit targets at 38.2% or 61.8% retracement levels of the CD leg.

This pattern helps traders anticipate reversals, allowing them to make informed trading decisions. Proper risk management is crucial when using this strategy.