Butterfly Pattern and trade confirmation-butterfly patterns is a harmonic pattern and a very successful formation. It is a solid formation that you will look for from Forex and stocks. It would help if you never used the formation alone. You can use it together with both graphic pattern and candle formations. Success is inevitable when you use the butterfly pattern, the chart, and the body.
First, I want to show the pattern. The pattern looks like you’ve seen it up. 5 point, B point fibo 0.786 c point between 0.382-0.882, but you can use it as Bullish and bearish.
How To Trade Butterfly Pattern
How to Trade Butterfly Pattern I want to give you an example of my trade. An analysis I did at AUDNZD parity is as follows. As you can see, I first drew the trend, the currency stuck in an area, and then the Butterfly pattern formed. I have to give up some snow if I wait for the formation’s candle pattern. But I entered the process according to the chart formation: the support point and the end is in the middle. How to Trade Butterfly Pattern depends entirely on you. You can easily increase your earnings by combining all the technical analysis systems you know.
I use the butterfly pattern in almost all my trades. But the trade secret that no one knows is that I can use it together with other graphic pattern. You should train yourself so that your eyes should immediately determine the formation like a radar, and you should clearly determine the entry point. Forex trading and other commodities that you should not forget in your trade and train yourself very well is another thing that you can make logical decisions. After the stock rose, it began to fall, and emotional decisions in the form of selling immediately do not cause you any more losses. So clearly determine your stop point before logging in. I’d like to share another example trade—my butterfly pattern at the EURUSD party.
As you can see, the chart formation, the support resistance points, as well as the two bottom formations formed at the bottom of the formation, the return from the resistance at the target, I consider it all a single Formation. Success is inevitable if it is done in this way. I’ll be happy to answer your questions about Butterfly formation.