In this post I will review the Harmonic Pattern Scanner trading tool which is specifically designed for those who have an interest in trading harmonic patterns which can occur on charts.
The scanner has been designed to be used on the popular and free to download MetaTrader 4 (MT4) trading platform.
It can be used standalone or in combination with other technical, price action, fundamental and sentiment analysis.
In order to use this forex system, you will need a trading account with a forex broker. With so many brokers to choose from, I have conveniently compiled a list of my best forex brokers to help you quickly and easily choose a broker that meets your needs.
I would always choose to use an ECN forex broker for the best possible trading conditions including tight spread, low commissions and reliable execution speeds.
Harmonic Pattern Scanner Features
The Tiger Harmonic Scanner Indicator can scan through any currency pair and any time frame for possible Harmonic Patterns and displays the result in a user-friendly manner on the integrated dashboard. You simply load it on your charts using the provided instructions and it will scan for patterns.
The pattern even come in form of projected D-Leg making you prepare in advance before completion. It gives you notification and with this you can watch out for price action at this zone and take your trade upon confirmations of proper reversal. Identifying a valid harmonic pattern by yourself can require a lot of patience and practice.
This can save you lots of time having to stare at multiple charts to find the patterns for yourself. Once it finds the patterns, you can choose to trade them as is or to add your own additional analysis to further filter the signals.
The Harmonic Scanner Indicator tool can help to show you entry points called Price Potential Reversal Zone (PricePRZ), the invalidation zones (Stop Loss), as well as 3 exit points (Target Levels) ensuring adequate compensation for risk taken when held to maturity with average risk reward ratio of 3.12 for the 3 Target Levels. You can choose to use these or your own levels.
The Harmonic Dashboard scans up to 10 different Patterns: Gartley, Butterfly, Bat, Alt Bat, Cypher, Crab, Deep Crap, ABCD, 3 Drives and Shark across all currency Pairs and all time frames in real time.
I find that major currency pairs such as the EURUSD and GBPUSD can catch moves and the higher time frames tend to filter out some of the lower time frame noise for me.
I would also make sure that I have my money management and trading discipline in check, looking for trades that have a favourable risk to reward ratio so that one losing trade does not wipe out multiple winners.
Harmonic Pattern Scanner Summary
In terms of a trading tool to scan for harmonic patterns, I would consider this to be a useful indicator. It will however require that you have some knowledge of how to interpret the signals and some initiative when it comes to money management.
The Harmonic Dashboard software includes updates, support, easy to follow instructions and a money back guarantee.