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A bearish butterfly is a specific chart pattern used in technical analysis within the realm of Harmonic Trading. This pattern helps traders identify potential reversal points in the price of an asset, typically indicating that the asset's price may reverse from an uptrend to a downtrend.

Key Features of the Bearish Butterfly Pattern
The bearish butterfly pattern consists of five points labeled X, A, B, C, and D. The pattern is formed by four distinct price swings, creating specific Fibonacci retracement and extension levels.

X to A: The initial move up from point X to point A.
A to B: A retracement move down from point A to point B, which is typically 78.6% of the XA leg.
B to C: A move up from point B to point C, which is usually 38.2% to 88.6% of the AB leg.
C to D: The final move down from point C to point D. The CD leg is an extension of the XA leg, and D is often found at 127.2% to 161.8% of the XA leg.