METAL PAY BAT FORMATION - GOOD ENTRY FOR LONG

The Bat Pattern is a 5-point retracement structure. It has specific Fibonacci measurements for each point. D is a zone where price is likely to reverse, called the Potential Reversal Zone (PRZ). The B point retracement of the primary XA is less than a 0.618, and the PRZ consists of 3 converging harmonic levels: 1) 0.886 retracement of the primary XA leg, 2) extended AB=CD pattern, usually 1.27 AB=CD and 3) minimum BC projection is 1.618.