Harmonic Patterns

Automated Geometric Price Structures

Harmonic Patterns are chart patterns based on Fibonacci retracements, extensions and projections of market price structure, which can indicate a potential reversal zone in the market. AlgoBox™ automatically plots harmonic patterns so there's no need to manually draw them.

By default, bullish Harmonic Patterns are green and bearish Harmonic Patterns are red, but the colors can be customized by the user. The rectangular boxes are the PRZ or "Potential Reversal Zone" for each Harmonic Pattern. The line(s) within the PRZ box indicate optimal location for either entry or stop loss, depending on the type of Harmonic Pattern.

Bullish and bearish Harmonic Patterns plotted automatically by AlgoBox™ software.

There are ten types of harmonic patterns, each with a bullish and bearish version for a total of twenty:

• Alt Bat

• Bat

• ButterFly

• Crab

• Cypher

• Deep Crab

• Diamond

• 50-Cent

• Gartley

• Shark

Harmonics are used in confluence with other indicators, such as the Fib Dot & FlowMaster™ Cross to form some of the AlgoBox™ strategies.

A bullish Shark Harmonic.

A bearish Shark Harmonic.

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The P-PRZ

The Harmonic Patterns display in yellow as a "P-PRZ" indicating a Predicted Potential Reversal Zone, when the Harmonic Pattern has not fully formed yet. If or when market price forms that particular pattern, the P-PRZ changes color to red or green, which indicates a Potential Reversal Zone.

A predicted Bat Harmonic Pattern yet to be formed. The square box is the P-PRZ: Predicted Potential Reversal Zone.

A bullish Bat Harmonic.

A bearish Bat Harmonic.

A predicted Alt Bat Harmonic Pattern yet to be formed. The thin rectangle box is the P-PRZ: Predicted Potential Reversal Zone.

A bullish Alt Bat Harmonic Pattern.

A bearish Alt Bat Harmonic Pattern.

A predicted Crab Harmonic Pattern yet to be formed. The rectangle box is the P-PRZ: Predicted Potential Reversal Zone.

A bullish Crab Harmonic.

A bearish Crab Harmonic.

A predicted Deep Crab Harmonic Pattern yet to be formed. The thin rectangle box is the P-PRZ: Predicted Potential Reversal Zone.

A bullish Deep Crab Harmonic.

A bearish Deep Crab Harmonic.

A predicted Gartley Harmonic Pattern yet to be formed. The thin rectangle box is the P-PRZ: Predicted Potential Reversal Zone.

A bullish Gartley Harmonic.

A bearish Gartley Harmonic.

A predicted Cypher Harmonic Pattern yet to be formed. The thin rectangle box is the P-PRZ: Predicted Potential Reversal Zone.

A bullish Cypher Harmonic.

A bearish Cypher Harmonic.

A predicted Butterfly Harmonic Pattern yet to be formed. The rectangle box is the P-PRZ: Predicted Potential Reversal Zone.

A bullish Butterfly Harmonic.

A bearish Butterfly Harmonic.

A predicted 50-Cent Harmonic Pattern yet to be formed. The rectangle box is the P-PRZ: Predicted Potential Reversal Zone.

A bullish 50-Cent Harmonic.

A bearish 50-Cent Harmonic.

A predicted Diamond Harmonic Pattern yet to be formed. The rectangular box is the P-PRZ: Predicted Potential Reversal Zone.

A bullish Diamond Harmonic.

A bearish Diamond Harmonic.

Default colors for AlgoBox™ Harmonic Patterns are yellow, green and red. The colors may be customized by the user.

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Harmonic Pattern Settings

The Harmonic Pattern offers a variety of customizable settings, allowing you to adjust them according to your preferences. Default AlgoBox™ settings are shown.

1. Audio

The audio alerts you once Harmonic Patterns are plotted on the chart. You can customize these alerts by changing the audio to a preferred voice or sound, or turn them off entirely.

Sound Alert: Receive sound alerts when a Harmonic Pattern is detected on the chart, with the option to add your own custom sound.

AlgoVoice: You can enable or disable real-time audio alerts as per your preference.

Voice Rate: You can customize the speed of the AlgoVoice alerts to your preference.

All custom sounds must be in .wav file format only.

2. Calculations

Allows you to control how frequently the Harmonic Pattern indicator recalculates. The Calculation sets the frequency of these calculation cycles. Customization allows for greater control over data update rates.

Limit # Of Bars (Performance): Allows you to set the maximum number of bars calculated.

Impulse Leg Min. Ticks: Setting defines the minimum number of ticks required to identify an impulse move.

Calc Override: Default setting is unchecked. Check this setting to customize and utilize Calc Interval.

Calc Interval: Set your custom desired calculation interval. The smaller the number, the more frequently the indicator will recalculate, which increases processing load on your system's CPU. The default setting of 1000 is in milliseconds, which is equal to 1 second. If you wanted the Harmonic Patterns to calculate every half second (twice as fast as default 1000ms), then you would enter 500 in this field.

Draw ONLY PRZ: This setting will only plot the PRZ (Potential Reversal Zone) box on the chart when a harmonic pattern is identified. By default, this setting is toggled OFF.

Draw Only PRZ mode may help with CPU processing load to speed up NinjaTrader charts.

The "Draw Only PRZ Boxes" setting in the Auto-Drawn Harmonics indicator is designed to optimize performance by reducing visual load on your charts.

When enabled, this setting skips drawing the full harmonic pattern structures and instead displays only the Potential Reversal Zones (PRZ) as simple boxes. This significantly lightens the workload on NinjaTrader’s rendering engine, allowing your CPU to process charts more efficiently—especially helpful during high-volatility periods or when running multiple indicators.

3. Custom Settings

Name Label PRZ: Displays the name of the harmonic PRZ (Potential Reversal Zone) forming on the chart. You can toggle this setting ON or OFF based on your preference.

4. Pattern Visibility

Pattern Visibility allows you to select which patterns you want to display on the chart. (Note that all patterns are toggled ON by default when you install the AlgoBox™ Pro software.)

5. Visual Settings

Enables you to personalize colors for pattern colors, outline colors for both Bullish and Bearish patterns, and P-PRZ colors, according to your preferences.

6. Data Series

Displays the current chart instrument, contract date and configurations applied.

Input Series: This setting determines which chart the indicator is displayed on, linking the indicator to the selected chart data.

7. Setup

Allows you to add a label, set the maximum bars to look back, and configure calculations based On Price Change, On Bar Close, or On Each Tick.

On Price Change: Updates the indicator only when there is a change in the instrument's price.

On Bar Close: Updates whenever a new bar closes, recalculating based on the finalized bar data to reflect the latest market conditions and changes in trends. Be mindful of whether you are using AlgoBars or range bars. This is the default setting for this indicator.

On Each Tick: Updates with every price change or tick in the market, providing real-time adjustments and reflecting the most current data. This setting increases CPU processing load.

8. Visual

Allows you to customize button colors, adjust the button placement, and modify the font type and size to suit your preferences. The Visual Settings shown are default settings which usually do not need to be changed unless specified in release notes or instructional video, live stream or on Discord etc. Auto scale is recommended to be unchecked.

Auto Scale: Automatically adjusts the indicator’s scale to fit within the chart’s price axis, ensuring it’s properly visible without manual adjustments.

Displacement: Shifts the indicator's plot forward or backward on the time axis. This setting is useful for aligning the indicator with price bars or other chart elements, especially in cases where you want to visualize future or past data relative to the current price.

Display in Data Box: Determines whether the values are shown in the Data Box, which is an on-screen display that provides detailed information about the current values when you hover over or click on the chart.

Panel: Specifies which panel or sub-panel the indicator is displayed in on the chart. Indicators can be placed in separate panels above or below the main price chart, allowing for organized and uncluttered visualization of multiple indicators.

Price Markers: Controls the display of markers or symbols on the price axis associated with the indicator's values. This setting helps highlight specific price levels or events directly on the price chart for better visibility and analysis.

Scale Justification: Determines where the indicator is positioned on the price scale, such as to the right or left side of the chart.

Visible: Toggles the overall visibility of the indicator, allowing you to hide or show it on the chart as needed.

All settings displayed in the settings image are the current default configurations provided by NinjaTrader and/or the AlgoBox™ Pro software, and may change at any time in future software updates without notice.

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Video Tutorials: Auto Harmonics

WATCH: Vinny E. Mini teaches Harmonic Structures in this tutorial

WATCH: Vinny E. Mini explain to a viewer if harmonics repaint or not.

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