Tactical Use of Pattern Completion Interval
Our Harmonic Pattern Plus and Harmonic Pattern Scenario Planner exclusively uses the Pattern Completion Interval for your tactical trading.
Sounds complicated but not. Simply, if the price is inside the PCI box, then the pattern will stay alive. If the price move outside the PCI box, then the pattern is invalid. (We barrowed this concept from prediction interval or confidence interval from multiple regression techniques).
Maybe it is the view you need to see not the technical language. It is the PCI box that you will calculate your entry + your risk management. Inside PCI, your will pick up the good timing for your entry based on your risk management. Everything should be happen inside PCI. Otherwise, your reward/risk does not have too much merit.
Secondly you might need to use some secondary confirmation for final buy and sell decision. Remember the very advantage of manual trading is about combining information. It does not have to be fundamental data for this purpose. In our case, we exclusively uses geometric based tools and we have nearly got rid of all the technical indicator for trading. But you can use some technical indicator like RSI, Bollinger bands and Fibonacci retracement etc.
Once you are sure about the trading and entry and risk management, then you will lock the pattern for your trading. Just click the lock button in your chart to do so.
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