Harmonic Patterns Scanner

5月3日

Hello Traders!

The Harmonic Patterns Scanner takes the time-consuming search for harmonic patterns completely off your hands. This indicator utilizes a unique swing-based pattern recognition to pinpoint 14 different bullish and bearish harmonic patterns in real-time with unparalleled precision.

The Harmonic Patterns Scanner is designed to operate in a fully automated manner, detecting harmonic patterns in real-time across the symbol and timeframe that you select. It grants you the ability to simultaneously scan for patterns across as many as 20 distinct symbols.

Pattern List (each pattern has a bullish and a bearish version)

1. Gartley
   
2. Bat
   
3. Butterfly
   
4. Crab
   
5. Cypher
   
6. Shark
   
7. 5-0
   

Feature List

1. Automatic real-time pattern detection
   
2. 7 different built-in breakout conditions
   
3. Breakout alerts
   
4. Customizable pattern size and accuracy
   
5. Customizable look and feel
   

The value of this indicator is to support traders to easily identify harmonic patterns. The trader saves a lot of time scanning the markets for harmonic patterns, since finding the pattern and alerting for a breakout is done automatically for the trader.



For a visualization of the detected patterns, you can add the TRN Harmonic Patterns Suite indicator to your chart.

How does TRN Harmonics Scanner work?

On the right side of the chart, you can find a table displaying the symbols monitored by our scanner for pattern and breakout detection. The table is divided into bullish and bearish patterns and provides information on the status of each symbol.

• UP – Upside Breakout
  
• DN – Downside Breakout
  
• UP CONF – Upside Breakout confirmed
  
• DN CONF – Downside Breakout confirmed
  
• FAILED – Pattern failed to get confirmed
  

If a pattern is in the making or already got confirmed, the scanner displays the name of the harmonic pattern in the table.

The scanner operates specifically on the timeframe you have selected in TradingView, ensuring that the detected patterns and breakouts align precisely with your trading perspective. If the scanner displays a pattern or a breakout, you just can switch to this instrument and start trading it if you like what you see.

Follow these instructions to discover how you can utilize the scanner for seamless and simplified chart pattern detection like never before:

1. Add Symbols
   
   Go to indicator settings and scroll down to the "Symbols" section. The enabled symbols can be recognized by the check marks. Click on one of them and use the search function to add the symbol of your choice to the scanner. You can search for up to 20 different symbols at the same time.
   
   
2. Use Alerts (Optional but Recommended)
   
   You can also use the built-in alerts to easily get notified when a pattern occurs. In the indicator settings in the "Alerts" section you can choose whether you want to get notified when a pattern is
   
   1. in the making (Pattern active),
   2. confirms an up breakout (B/O Up Confirmed)
   3. confirms a down breakout (B/O Down Confirmed)
   4. (Unconfirmed) in case a pattern breakout occurs, even if the pattern is not yet confirmed
   
   This allows you to stay informed about potential breakout opportunities.
   
   
3. Customization and settings
   
   The indicator can scan for smaller and larger patterns. Adjust the harmonics size in the indicator settings to align them with your preferences. A larger size results in larger patterns. Depending on the asset class, the market or the market phase, different sizes can be used for pattern detection.
   
   To detect more patterns, increase the tolerance level, even though it may result in lower accuracy. However, be mindful that a higher tolerance level may result in more patterns hitting their stop-loss.
   

Breakout Conditions

Identifying breakout conditions is paramount for successfully profiting on chart patterns. Trading tools equipped with diverse breakout conditions offer traders a comprehensive approach to deciphering market trends and making informed decisions.

This section delves into the set of breakout conditions built within the Harmonic Pattern Scanner, exploring their functionalities, applications, and the benefits they provide in the realm of chart pattern recognition.

• TRN Bars Signal + Trend
  The Harmonic Pattern Scanner includes also the TRN Bars algorithm. It is designed to spot bullish and bearish trends and reversals. The trend analysis is based on a new algorithm that weights several different inputs:
  
  
  1. classical and advanced bar patterns and their statistical frequency
  2. probability distributions of price expansions after certain bar patterns
  3. bar information such as wick length in %, overlapping of the previous bar in % and many more
  4. historical trend and consolidation analysis
  
  
  If you use this breakout condition, the breakout is determined by the next signal (reversal, continuation, breakout) or trend change of the TRN bars after one of the harmonic patterns has been completed. These Breakout conditions give you the accurate trend recognition of the TRN Bars to find the perfect entry.
  
  
• TRN Bars Signal
  If a harmonic pattern gets completed and you use this breakout condition, the breakout will be determined by the next confirmed signal (reversal, continuation, breakout) of the TRN Bars. These Breakout Condition delivers signals with reenforced reliability, but they occur not as often as other breakout conditions.
  
  
• RSI Crossing
  With this breakout condition, a breakout for a long position gets determined, when the RSI line crosses above the RSI moving average (MA) after one of the harmonic patterns has been completed. A bearish breakout after a completed harmonic pattern gets determined, when the RSI line crosses below the RSI MA.
  
  You can choose your preferred RSI and MA length in the indicator settings under the “Trade Management” section.
  
  
• MACD Crossing
  If a harmonic pattern gets completed and you use this breakout condition, the breakout gets determined, when the MACD line crosses above the signal line (bullish MACD crossover) for a bullish breakout. Conversely, when the MACD line crosses below the signal line (bearish MACD crossover), a bearish breakout gets determined after a harmonic pattern was completed.
  
  You can choose your preferred MACD length in the indicator settings under the “Trade Management” section.
  
  
• Swing Flip
  Use this breakout condition, if you want a breakout to get determined when the next swing after point D gets detected by the build in swing detection algorithm of TRN Harmonics.
  
  
• Close Below/Above Last 2 Lows/Highs
  With this breakout condition, a breakout for a short position gets determined, if a close below the lows of the last 2 bars gets detected. For a long position, the breakout gets determined if a close above the highs of the last 2 bars gets detected.
  
  
• Close Below/Above Last 3 Lows/Highs
  In this scenario, a short position breakout is confirmed if the price closes below the lows of the previous 3 bars. Conversely, a long position breakout is confirmed if the price closes above the highs of the last 3 bars.
  
  
• How To Setup Breakout Conditions
  Go to indicator settings and choose one of our built-in breakout conditions under the section "Trade Management" of the menu item "Inputs", like for example TRN Bars Signal + Trend. A selection of 7 distinct breakout conditions is at your disposal.
  

Computation Details

The real-time detection of the harmonic patterns utilizes a unique swing-based pattern recognition. The difference to other swing-based computations is that the pivot points are identified without a look-ahead value. The result is a faster and better real-time detection. The tolerance level unites several internal parameters into one and results in a user-friendly setting.

Risk Disclaimer

The content, tools, scripts, articles, and educational resources offered by TRN Trading are intended solely for informational and educational purposes. Remember, past performance does not ensure future outcomes.

7月29日

リリースノート

Settings UI has been improved

11月7日

リリースノート

Default Settings has been updated