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Technical analysis

Cypher pattern

5-point harmonic with unique BC = 1.13-1.414 EXTENSION beyond B (not retracement). CD = 0.786 of XC. Less common, higher reliability when correctly identified.

What it means

The Cypher pattern (Darren Oglesbee) has a unique structure where BC EXTENDS beyond B (1.13 to 1.414 ratio) rather than retracing. CD = 0.786 of XC. Less common than Gartley or Bat patterns; reliability is high when ratios match strictly. Often appears on stocks before major moves.

Why it matters

Cypher's unique structure (BC extending beyond B) makes it harder to identify visually but produces high-conviction reversal signals when correctly identified. Less widely-known than Gartley/Bat, so less crowded as a trade — potentially higher edge for those who recognize it.

How to use it

Identify via scanner or careful ratio measurement. Confirm BC extends beyond B (not retracement). Enter at D in direction of XA reversal. Stop beyond D extreme. Target Fibonacci retracements of CD.

Take it further

Want a worked example or a deeper dive? Ask Rocky how this concept applies to your specific watchlist or trade idea.

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