The cypher pattern is an advanced harmonic price action pattern that, when traded correctly, can achieve a truly outstanding strike-rate as well as a pretty good average risk reward ratio.

At its simplest, the Cypher pattern comprises an impulse leg, XA, that retraces to form AB. Another impulse beyond the swing point A creates the BC leg and a final retracement to D generates the CD leg.

In an uptrend, the Cypher pattern makes higher highs and higher lows. In a downtrend, the Cypher pattern makes lower lows and lower highs.