FSO Harmonic Scanner 8 – #1 Most Accurate Harmonic Scanner

Are you looking for the best MT4 Harmonic Pattern Scanner indicator? I would like to suggest the FSO Harmonic Scanner 8. For me, this is the best Harmonic Scanner ever. The technology behind this scanner is much different than any other scanner out there.

Before I show you the power of the FSO Harmonic Scanner, I’ll first introduce the basic of Harmonic pattern trading and the importance of Harmonic pattern scanner to give you the basic knowledge of Harmonic pattern trading.

Below are exactly what you can learn on this post:

  1. Introduction to Harmonic Pattern
    1. History of Chart pattern
    2. Example of Harmonic pattern
    3. List of Harmonic patterns
    4. Advantages of Harmonic pattern trading
    5. Disadvantages of Harmonic pattern trading
    6. How to trade the Harmonic patterns
  2. Harmonic pattern scanner
    1. What is MT4 Harmonic pattern scanner
    2. Why you need a harmonic scanner
  3. How I pick up the best harmonic scanner
  4. The best harmonic scanner I would like to recommend
    1. What makes FSO Harmonic Scanner unique
  5. My personal suggestions
    1. How to maximize your trading with FSO Harmonic Scanner
    2. Visit my review page for deeper information and grant access to Special Offer

Introduction to Harmonic Pattern

History of Harmonic pattern

Chart pattern is the main ability most traders develop in Technical Analysis. It might be a basic knowledge in Forex trading, but to master pattern recognition, it takes repetitive exposure and practice. Mastering recognition of patterns could help traders to predict and react to the market movement.

Some of most popular patterns in the past are Symmetrical Triangle, Cup and Handle, Head and Shoulder, Flags, Double Bottoms, Broadening Patterns, etc.

Then in 1932 H.M. Gartley found a pattern which is much more accurate and then the pattern was named Gartley pattern. It is the basic concept of Harmonic Pattern.

The method then developed more by Larry Pesavento by adding Fibonacci Ratios to the recognition to make it much more accurate.

Then Scott M. Carney developed more the pattern through his book “Harmonic Trading”. Scott found some other patterns and named them as Crab pattern, Bat pattern, Shark pattern, and many more.

The main theory behind the Harmonic pattern is the Fibonacci ratio and the symmetry of the pattern. By using the Fibonacci ratio (Fibonacci retracement), a pattern could early detect the turning points or reversal point with amazing accuracy.

Not only that, by still using the Fibonacci ratio (Fibonacci projection), Harmonic pattern could also predict the length of the reversal which is the potential profit for trader, and also the safe stop which is the level that break the pattern.

Example of Harmonic Pattern

Below is one of example of Harmonic pattern called Gartley pattern:

gartley pattern

The pattern formed by 5 points which are X,A,B,C,D. The point of D is the reversal point that trader should entry (in Buy position), with the target of 0.618 of XA. While the stop can put on some pips below the D point.

List of Harmonic Patterns

Below are the list of most popular patterns in Harmonic trading:

  • ABC Bearish/Bullish
  • AB = CD Bearish/Bullish
  • 3 Drives Bearish/Bullish
  • Gartley Bearish/Bullish
  • Butterfly Bearish/Bullish
  • Bat Bearish/Bullish
  • Crab Bearish/Bullish
  • Shark Bearish/Bullish
  • Cypher Bearish/Bullish

Advantages of Harmonic pattern trading

  1. Highly probability setups.
  2. Frequent and repeatable.
  3. Provides future projections (so you can predict the market earlier).
  4. Trading rules are standardized by Fibonacci ratios, which give you more objective in pattern detection.
  5. Works well in any instrument (stocks, currency, commodity, etc.).
  6. Can be used for any direction (bullish and bearish) .
  7. Works well in any time frame (from M15 till Monthly).
  8. You can use this tool both as solo indicator and combined with other indicators like RSI, MACD, MA, Stochastic, etc.
  9. With the right pattern detection, traders could get much bigger of potential profit ratio compared to the risk taken.

Disadvantages of Harmonic pattern trading

  1. Complex and highly technical (making it difficult to trade manually without Harmonic pattern scanner).
  2. Fibonacci retracement and projection conflicts can cause difficulties in recognizing the pattern and defining the reversal zones.
  3. Opposing patterns form that may occur in different timeframe could make a confusing of trader who trade without the Harmonic scanner.

How to trade the Harmonic patterns

The concept in executing a harmonic pattern is actually easy. There are only two steps before you execute the trade:

  • First, wait till the pattern recognition completed.
  • Second, wait till you got a confirmation that the pattern is completely formed.

For example, if you trade the above pattern (XABCD bullish Gartley pattern, wait on the potential zone of D, which is the reversal zone. When the pattern (XABCD) is completed, wait the confirmation signal which is bullish movement. When you got the signal, you may enter to the market in long position.

For the Target, you may put it by using Fibonacci projection. Each pattern has its potential reach of Fibonacci projection. While the Stop is some defined pips below the D point. The distance is defined based on the broker’s spread plus pips of margin of error.

Harmonic Pattern Scanner

What is MT4 Harmonic pattern scanner

With Harmonic pattern scanner, you can measure, analyze and display all the Harmonic patterns detected by the algorithm in any given time-frame.

With a scanner, trader will see a dashboard on their trading platform which shows all the patterns found. Based on the information, the traders could decide which pair and which time-frame will need to execute.

harmonic scanner dashboard

The scanner gives the trader ability to monitor all pairs, all time-frames and all possible patterns in one dashboard, instead of open and analyze them one by one.

Why you need a harmonic scanner

There are at least 5 reasons of why you should use a Harmonic pattern scanner if you want to trade the Harmonic pattern effectively and maximize your results. They are:

1. To avoid missing in good opportunities

You can always do a manual trading in Harmonic trading, but the chance for you to miss a good opportunity is much higher than using a scanner.

2. To avoid a late entry

Manual measure in detecting harmonic patterns will be very time consuming. This one often causes a trader too late to enter the market. Keep in mind that harmonic trading is a reversal trading, which the power is in its risk to reward ratio. By late entry you lose the power of harmonic trading itself. Ie, your risk could be just as same as your reward, or even bigger.

3. To avoid a false in pattern recognition

The harmonic pattern scanner built to eliminate human error in measurement and detecting the pattern.

4. To reduce trader’s emotion and other psychology factors

By sitting too long to monitor and waiting for a good pattern to catch, traders often get a bad mood, trigger their emotion, etc. which then causing a wrong decision.

5. To avoid pattern recognition conflicts in different timeframe

Sometime you will find a bullish pattern in higher timeframe followed by a bearish pattern in lower timeframe. This condition could make a manual trader hard to make a trading decision. With a proper MT4 harmonic scanner, this kind of problem is anticipated. The scanner has been programmed to decide which pattern has the most probability to be right and ignore the less one.

How I pick up the best Harmonic Scanner

There are 5 factors you need to consider while choosing the best MT4 harmonic scanner:

1. Success rate (the most important)

I put the success rate as the number one factor with highest value. For me, success rate is the most important factor to consider. I count the success rate by dividing the number of win positions (hit the Target 1) with the number of trades.

I define the success rate after executed all detected patterns and put the target and stop based on the level given.

2. Number of patterns the scanner could recognize

The ability to detect patterns is also important as the more patterns your scanner could recognize, the more opportunities you could take. For sure in real trade you don’t need to execute all the existing opportunities, but the ability to detect many patterns will give you more chance to catch the best ones.

3. Number of instruments monitored by the software

Some scanners could monitor only 10 pre-defined instruments. But some scanners could monitor up to 30 instruments. I see this factor as important factor too as the main benefit of using harmonic pattern scanner is to monitor many instruments at the same time and in one dashboard.

4. Ability to monitor multi time-frames

Some scanners has limitation of number of time-frame to monitor (ie: one scanner could monitor only 1 given time-frame), while the other scanner could monitor up to 6 different time-frames.

Since harmonic trading is more effective in higher time-frame, then ability to monitor at least 3 time-frames at the same time is enough.

5. Ability to anticipate pattern conflicts in different time-frame

If you have some experiences in manual trading with harmonic pattern, there is high probability that you ever experienced a pattern conflict. A conflict occurs when a pattern direction in a time-frame against the pattern direction in different time-frame.

Within the condition, some scanners will display both of them, which just making you hard to choose. A good scanner should display the one that has highest probability to win. Or, they may display the both complete with the probability ratio to help you making decision easier.

The best harmonic scanner I would like to recommend

The only MT4 harmonic scanner indicator that I would like to suggest is FSO Harmonic Scanner which is currently in version 8. This scanner has a great score for every factors above.

Plus, this scanner has some features that you can’t find on other harmonic scanners, as described below.

What makes FSO Harmonic Scanner unique

The FSO Harmonic Scanner 8 has three features that you won’t find in other scanners.

First, the FSO Harmonic Scanner has its own artificial intelligence in Neural Network connected to the scanner. This feature gave the software ability to self-learning from mistakes to provide self improvement.

With this feature, the software can automatically improved its analysis by self-adding new algorithms and eliminate the old algorithms with less success rate.

Second, the FSO Harmonic Scanner doesn’t use Fibonacci retracement/projection to define safe stop and targets (both Target 1 and Target 2). Instead, this software uses their own algorithm inside the Neural Network.

Third, the FSO Harmonic Scanner has a second indicator called Maxwell’s Equations which the function is as a confirmation before you execute any harmonic pattern.

The Maxwell’s Equations displays the future prediction so you can cross-check with the pattern’s direction. When the future prediction confirmed the direction, you get even better probability to win.

Image below should represent how the Maxwell’s Equations works as a confirmation of the price reversal and potential distance of the price movement.

fso harmonic scanner

My personal suggestions

How to maximize your trading with FSO Harmonic Scanner

Below are some tips to maximize your trading results with FSO Harmonic Scanner 8:

  1. Always use stop level based on the level given by the scanner. Do not put your Stop just on some pips below/above the entry level, like suggested by many theory. The FSO already calculated the exact level of threshold of pattern validation.
  2. No matter how good the pattern formed, do not enter to the market before you got a confirmation signal from the scanner.
  3. Since the distance of stop will be varied on each position, then do not use flat lot for all of your positions. Instead, use proportional lot based on the stop distance and the money you’re willing to risk for the trade.
    For example, if you want to take a risk of $50 on EURUSD, with the stop distance of 25 pips, then the lot size you need to take will be 0.2 lot. Take the same risk for all of your positions!
  4. To maximize your potential profit, always put your target on Target 2, but when you achieved Target 1, close your position partially and move your Stop to Breakeven (to entry level).
  5. Trading the Harmonic pattern in higher time-frame will be less frequent. But keep in mind that in term of Harmonic trading, you don’t try to get frequent trades. Instead, your priority should be your winning rate. I suggest to trade patterns only on H1, H4 and D1. With the ability of the scanner to monitor up to 30 instruments, you will get enough opportunities even you limit your trades to only on those time-frames.

Visit my review page for deeper information and grant access to Special Offer

If you want to try the FSO Harmonic Scanner 8, you can visit my review page through the link below. It goes deeper and reveals anything you need to know about the scanner, including: the features in detail, how to use the scanner and get the most out, the pros and cons, and access link to the special offer.