Trends/Fibonacci and harmonic patterns

Cypher pattern

A five-point shape where C goes beyond A, and D lands at 78.6% of the move from X to C.

Fibonacci and harmonic patternsBest on 6M, 1Y, 3YAlso called Cypher harmonic

Illustration of the Cypher pattern shape. It is a sketch, not real price data.

What it shows

The Cypher was described by Darren Oglesbee. Its C point sits beyond A, between 127.2% and 141.4% of XA, and D comes back to 78.6% of the X to C move.

The difference from other harmonics is C being beyond A.

How we find it

The same code that draws it on your chart follows these steps, with the same result every time.

Find five alternating swing points X, A, B, C, D.
B must be 38.2% to 61.8% of XA.
C must be 127.2% to 141.4% of XA, measured from X (above A).
D must be 78.6% of XC (±5%).

Starting values: Ratio tolerance ±5%; C 127.2% to 141.4% of XA; D 78.6% of XC. These are proposed and will be tuned on real price data before launch.

How to read it

C is higher than A.
D comes back below B in this drawing.
Dashed lines show the ratio triangles.

Status labels you may see

Label	What it means
Pattern forming	Points X through C match, D has not been reached.
Pattern complete	D matches the ratio rule.
Invalidated	Price closed beyond X.

What cancels it

A close beyond point X.

What traders check next

Whether C really exceeds A.
What happened at D.
Whether other levels agree with D.

Limits

Definitions vary across sources.
Tolerance lets many shapes qualify.
Rarely tested in research.

Try it in forecastviz

Open any ticker and choose Fibonacci and harmonic patterns → Cypher pattern in the left menu.
Switch between 6M, 1Y, 3Y to see how the picture changes.
Compare with Gartley pattern and Bat pattern on the same chart.

Open on a ticker

Questions

Why is C beyond A?

It is part of the rule that sets the Cypher apart.

Is there a downward version?

Yes, the mirror image.