What Is The 5-0 Pattern & How To Trade With It

5-0 Pattern

The 5-0 pattern is a type of Harmonic pattern that describes a potential reversal at point D. Developed by Scott Carney and mentioned in the book, “Harmonic Trading of Financial Markets: Volume two,” the 5-0 is a recent Harmonic pattern family member. What is the 5-0 pattern? The 5-0 pattern compromises of five legs (X, A, B, C, and D). These legs or points depend on Fibonacci ratios to complete the 5-0 pattern. The five legs create highs and lows five times before finally signaling a reversal at point D. Although the pattern has five legs, the first step of …READ MORE