Butterfly Pattern
A harmonic XABCD pattern where D extends beyond X — identifying extreme reversals at the end of large moves.
Formula
AB = 78.6% of XA; BC = 38.2%–88.6% of AB; CD = 127%–161.8% of XA
The Butterfly is a harmonic pattern discovered by Bryce Gilmore. Its defining feature is that point D extends beyond point X, meaning the final leg overshoots the pattern origin — signalling exhaustion at an extreme.
The PRZ at D is defined by a cluster of Fibonacci levels. A stop is typically placed just beyond the outer Fibonacci extension. Because D extends past X, the Butterfly frequently catches capitulation moves and trend extremes.
- AB = 78.6% retracement of XA
- BC = 38.2%–88.6% of AB
- CD = 127%–161.8% extension of XA
Related Terms
ABCD Pattern
The simplest harmonic structure — a four-point zigzag where BC is a Fibonacci retracement of AB and CD equals AB in length and time.
IntermediateBat Pattern
A harmonic XABCD pattern with a deep AB retracement and a D point near 88.6% of XA — offering a tight stop and favorable risk/reward.
AdvancedCrab Pattern
The most extreme harmonic pattern: D extends to a 161.8% XA projection, marking deep reversal zones at market extremes.
AdvancedGartley Pattern
A five-point harmonic pattern (XABCD) using specific Fibonacci retracements that marks high-probability reversal zones.
AdvancedHarmonic Pattern
Any of the XABCD patterns (Gartley, Bat, Butterfly, Crab) that use precise Fibonacci ratios to identify Potential Reversal Zones.
Advanced