Bullish Crab

BullishReversalAdvanced

A crash to 161.8% of the first leg, far below the start. Then the bounce.

No verdictBitcoin 4H: 0 trades, won —, avg trade — vs random day — (too few trades to judge). Backtest

XA
Bullish Crab: textbook shape, step by step

Price bottoms at X and rallies to A.

step 1/8

Trade rules

DirectionLong (buy)
EntryB at 38.2-61.8% of XA, C at 38.2-88.6% of AB, D at 161.8% of XA (below X) with CD 2.24-3.618x BC (each ±5%). Once price bounces 2% off D (2.5% on stocks), a candle CLOSES above the high of the D candle within 5 candles.
Cancelled ifPrice trades below D before that close. No pattern if price climbs back above C before D, falls more than 5% past the 161.8% level, or D takes longer than X to C took.
Target61.8% of A to D, projected from the breakout
3 common mistakes
  • Buying at 127% because it looks low enough: the Crab's D is at 161.8%.
  • Skipping the confirmation close in a falling market.
  • Trading a Crab with a tiny X to A leg: the ratios mean nothing on noise.

Backtest

same rules every time · equal size · no fees · method
MarketTradesWonAvg tradeRandom day
Bitcoin · 4H · 2017-2026 · too few trades to judge0———
US large caps (50) · 1D · 2016-2026 · too few trades to judge2100%+12.73%+2.10%

No verdictNot enough signals to judge.

Real examples

Oracle · 1D

Breakout Oct 3, 2022, exit Oct 21, 2022 (target)+15.07%
D candle highX68.23 · Jul 14, 2022A79.88 · Aug 18, 2022B73.42 · Sep 7, 2022C79.41 · Sep 13, 2022D60.78 · Sep 29, 2022Entry
Oracle 1D, real candles from Jul 14, 2022