What it is
The Shark Pattern is a harmonic pattern identified by Scott Carney that uses a unique labeling system (0, X, A, B, C) instead of the traditional XABCD. It's an aggressive pattern that identifies reversals before they fully form.
The pattern completes when price reaches the 88.6% retracement of the initial leg (0 to X) combined with a 113% extension of the XA move. This creates a specific convergence zone where the reversal is anticipated.
The Shark is considered more aggressive than traditional harmonics because it enters at an earlier stage of the reversal. It's essentially catching the turn before a Bat or Gartley would complete.
The psychology
The Shark identifies overextension in real-time. Unlike patterns that wait for a full XABCD structure, the Shark signals when a move has stretched to a specific Fibonacci limit and is likely to reverse.
The 88.6%/113% convergence zone is where two different Fibonacci measurements from different swing points agree. This dual confirmation is what gives the pattern its edge.
Reversals from Shark patterns can evolve into other harmonic patterns. A bullish Shark reversal might become the XA leg of a Gartley or Bat. Understanding this helps with continuation targets.
Identification
- 010-X impulse — Initial move defining the range
- 02X-A correction — Retraces portion of 0-X
- 03A-B impulse — Extends beyond X
- 04C completes at 88.6% of 0-X and 113% of XA — Convergence zone
- 01Both measurements converge precisely — Tight zone
- 02Reversal candle at C — Confirms the pattern
- 03Volume shift at completion — Exhaustion to reversal
- 04Structure level at completion zone — Additional confluence
- 01Measurements don't converge — No clear zone
- 02Price drives through 88.6% without pause — Pattern failed
- 03No reversal signal — Momentum continuing
- 04Internal structure is messy — Swing points unclear
Execution framework
Enter at point C where the 88.6% and 113% levels converge. Use a reversal candle as confirmation.
Beyond the convergence zone. Typically a fixed percentage beyond C.
T1: 50% of the C move. T2: Point A. The Shark often evolves into a larger pattern — watch for continuation.
Typically 1:2 or better when the convergence zone is tight.
Context matters
The Shark is an advanced harmonic for traders already comfortable with Gartley and Bat patterns. Its earlier entry point means more trades but also more false signals.
- 01Tight convergence of the two measurements
- 02Clear reversal candle at completion
- 03Completion at a known structure level
- 04Momentum divergence at C
- 01Wide convergence zone (imprecise)
- 02No reversal candle
- 03Strong trend pushing through
- 04Messy internal structure
Think of the Shark as an early-warning harmonic. When it completes, it often sets up a larger Gartley or Bat structure — watch for the continuation.
Compare the full pattern set
Use the library to compare similar structures before deciding what the chart is actually building.