Here I will show few pictures to help how patterns are works together in financial market. I followed this since 9 June on GBPUSD pair.

Firstly we get bullish breakout with falling wedge pattern on 12 June.

Secondly we get Big bearish pattern to alarm you possible bearish market on 20 June after the nice bullish rally from 12 June.

Thirdly  we get symmetrical triangle on 26 June to tell you possible price direction change. The triangle lead to big bullish breakout.

Then, bearish butterfly pattern formed and alarm you possible exit timing from the previous bullish breakout.

Just give you an idea how these pattern (Harmonic pattern and breakout pattern) work tougher.

For your further information, Harmonic patterns are used by many independent traders ( They are not necessarily trading on trading floor) and they are used for some serious investors with serious money as they are easy to use and powerful.

Breakout patterns are on the trading text book and used by many professional traders. If you enrol professional financial trading firm, then they will learn breakout patterns (double top, head and shoulder, triangle, etc) for must.

Interesting question arose here Who is more powerful between harmonic pattern and breakout pattern? In my view both helps each other. You will become more successful trader combining both indicators.

I hope this was helpful for your successful trading.

Plus harmonic pattern and breakout patterns works perfectly as an standalone trading technique. So you can also start your trading using only one trading style between harmonic pattern and breakout pattern.  

Kind regards.

Yes, of course. I will explain in term of trading text book first and then I will add my option later.  Here I will give you an stop loss and take profits from the trading text book.

In my opinion, as Morden market tend to create  a lot of up and down fluctuation to stop out the tight stop loss positions, I recommend you to have enough stop loss level.

Good news is that take profit level is normally very high for this breakout kind of strategy. Therefore, you could have quite sufficient stop loss level. You enter the market if your Reward (TP)/Risk(SL) > 1.2. Sometime you will find Reward/Risk > 3 when the pattern is detected.

You can make consistent profits like this long period of time with this Price Breakout Pattern Scanner.

Kind regards.  

In the picture below I show you, Potential Take profits level for double top and triple top patterns.

Kind regards.  

Here are some more information.

http://www.investopedia.com/university/charts/charts2.asp 

http://www.investopedia.com/university/charts/charts4.asp

http://www.investopedia.com/university/charts/charts5.asp

Today, bearish rising wedge pattern on Gold.

and Huge price drop.

Uploaded new video tutorial on how to develop profitable trading strategy with Price Breakout Pattern Scanner.

Enjoy.

Many more new updates on our website. Please visit it for your own goods. You can find more about Signal subscription, training course and products. 

http://harmonicpattern.ucoz.co.uk/

http://fxpricebreakout.ucoz.com/

http://tradesideways.ucoz.com/

You can download supplementary technical indictors template for Price Action and Pattern Trading here. Of course, it is free of charge. Enjoy.  

 http://harmonicpattern.ucoz.co.uk/index/customer_supports/0-29

Market Principle Number One is probability or probability of success. This is never enough to emphasize 1000 times. Each pattern or indicator signals will come with its attached probability. User must interpret each signal using probability.

Triangle patterns can provide directional information however this direction information will be subject to probability. What you should care is that price will always break out of the shape as you see from above picture. Also note on how rising wedge pattern pressurize price downward from above picture. So it is important to watch breakout direction to gauge good timing. This is probably typical procedure for Price Action traders. So you need to have two of these in mind to become skill full trader.

Recommend to trade Head and shoulder pattern in two separate stage. I may mentioned this some where on my website. That is to trade point F to E as your first target. Then to trade point E to breakout below.

Principle number two is to use more than one indicators to confirm its signal. Following one signal without confirming with others is much less convincing to put your valuable money for trading. Oscillator is important for this purpose. It is recommended to use oscillator with fixed maximum and minimum unless you know how the oscillator works in granular level. Oscillator without fixed maximum and minimum need more skills in general. So I will say avoid to use oscillator without fixed maximum and minimum. CCI is quite exception for this.

Principle number three is to do right risk management. This tell you to guard unwanted volatility to hurt your trading. Best way is to use our free Risk Management Tool. https://www.mql5.com/en/market/product/5452

I have received several notice from some of my clients about entering trading competition. We are more than welcome to hear your challenge for trading competition using our Price Action and Pattern Trading.

So feel free to discuss with us if you enter trading competition using our Price Action and Pattern Trading Tools. :) :)

I have received several notice from some of my clients about entering trading competition using our Price Action and Pattern Trading Tools. We are more than welcome to hear your challenge for trading competition using our Price Action and Pattern Trading.

So feel free to discuss with us if you enter trading competition using our Price Action and Pattern Trading Tools. :) :)

The differentiation of rising wedge and ascending triangle patterns is exceptionally difficult task to automate. The reason being is that ascending triangle with slighly tilted trangle does look like risging wedge.

So we have not included the separate ascending triangle pattern detection in our software. So in fact, slightly tilted ascending triangle may be deteced within risging wedge patterns.  

So when there is rising wedge pattern appear. You will see ocassional rear breakout text on our Price Breakout Pattern Scanner. This is exactly what I meant by "ocassional rear breakout".

When you see quite flat angle rising wedge patterns, you have be doubt about having slighly tilted ascending triangle and you need to be prepared for rear breakout.

Here is very good example, where rising wedge patterns and slightly tilted ascending triangle looks very similar. Rear breakout pattern happens.

Just for compariosn purpose, I will also show you more complete form of rising wedge patterns. Also note that even with complete form of rising wedge patterns you can still have rear breakout. The essense of this trading strategy is that you trade on breakout.

Hello Young Ho Seo. Sent you a message.

Soon we will add a new function to lock the latest patterns from your chart.

This means that now you can lock the latest pattern (or any other chosen pattern) in your chart before you trade using that pattern.


Now you don't have to worry about if the chosen pattern will disappear after your trading due to new pattern arrivals.

Of course, you will have a function to unlock and delete the locked pattern from your chart too. You can use this unlocking feature if you believe that the pattern is no longer needed for your trading.

This locking and unlocking features can be simply done by pressing "Pattern" button on your chart.

You can use this locking and unlocking feature to enhance your real live trading.

We feel that this would provide a lot of benefits to users and we are already excited so much. :)


This update will be applicable to:

Harmonic Pattern Plus v3.5,
Price Breakout Pattern Scanner v3.6,
Harmonic Pattern Scenario Planner v3.8.


All the best for your trading. :)

Kind regards.