butterfly model

Butterfly model elements

• Point B at 0.786 with a tolerance (+/-3%)
• Type AB=CD – AB=CD-1.27 AB=CD
• Correction D from BC at 1.618-2.24
• D correction of XA at ​​1.27
• Stop Loss > 1.414XA (based on AB=CD)

Butterfly model elements explained

1. Correction of point B of leg XA at 0.786 With a tolerance of +/-3%
2. Correction of point C of leg AB at 0.382, 0.5, 0.618, 0.786, 0.886
3. Correction of point D of leg XA at 1.27
4. Correction of point D of the page at 1.618, 2, 2.24

Notes on the butterfly model

• The correction of point B of the XA leg must be accurate at 0.786 With a tolerance of +/-3% this pattern would otherwise normally form a crab at 1.618
• Use the retracement of point D of the XA section at 1.414 as the measure of your stop loss.
• The price action should reverse immediately after crossing the general 1.27 retracement zone (correcting point D of the XA section at 1.27).
• Prefer 1.414, especially when AB=CD exceeds point D’s correction of XA 1.27 leg.

Lesson 7: Pattern AB=CD نموذج
Lesson 8: The Gartley Model
Lesson 9: Bat Model
Lesson 10: Alternative bat
Lesson 11: The Cancer Model
Lesson 12: Deep Crab
Lesson 13: Butterfly Patterns