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In this article, we’ll break down the ABCD pattern, show you how to identify it on your charts, and provide actionable steps to incorporate it into your trading strategy.
The ABCD pattern strategy is a harmonic trading technique that involves identifying and trading a 4-wave structure that resembles a lightning bolt on the chart.
Gold surged to a new record high of $3,675 before encountering resistance at ABCD targets, suggesting a possible pullback and test of support zones around $3,537.
Almost every investor uses a pattern trading strategy to discover the next stock they want to invest in for their growing portfolio.
Crude oil tested key resistance at $69.97 before pulling back, signaling potential consolidation, but bullish signals suggest further upside towards the $70.61–$70.81 target zone.
If today’s low is busted the next lower price areas to watch for support include the 100% completion of a falling ABCD pattern at 2.05, followed by a prior swing low support level at 2.03.
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