Bullish AB=CD
Definition
A harmonic two-leg decline where CD mirrors AB — buyers step in at D.
Psychology
The second drop copies the first — and that symmetry marks where buyers plan to act.
Real-life analogy
💡 Two identical staircases down into the basement — you know where the floor is.
Expected direction
up
Entry / Stop / Target
Entry: At/near D completion with a reversal candle (e.g. hammer or engulfing). · Stop: Below D by a small buffer. · Target: 38-61.8% retrace of the whole AD move, then C.
Historical behaviour
Cornerstone of harmonic trading.
Illustrative success rate
Symmetry completes ~60-70% · Medium reliability
Common beginner mistakes
- • Forcing symmetry where none exists
Quick quiz — did you understand?
1. Is the Bullish AB=CD generally considered bullish, bearish, or neutral?
2. After a confirmed Bullish AB=CD, the expected direction is usually:
3. Which is a common beginner mistake with the Bullish AB=CD?
Educational and probability-based analysis only. This is not financial advice and not a prediction of real market outcomes.