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Headandshouldersformation

Inverse Head & Shoulder Tutorial An inverse head and shoulders pattern is the opposite of the head and shoulders pattern and signals a potential bullish reversal from a downtrend to an uptrend. Here's a breakdown of its key components: Left Shoulder: The price falls to a trough and then rises back to a resistance level. Head: The price falls again to a lower trough and then rises back to the same resistance level. Right Shoulder: The price falls again but only to the level of the first trough, then rises once more. The pattern gets its name because it resembles an upside-down head with shoulders on either side. The neckline is the resistance level connecting the highest points of each peak. Types of Inverse Head and Shoulders Patterns Inverse Head and Shoulders Bottom: This pattern signals a potential reversal from a bearish trend to a bullish trend. How to Trade It Breakout Confirmation: The pattern is confirmed when the price breaks above the neckline in an inverse head and shoulders bottom. Entry Point: Traders often enter a long position when the neckline is broken in an inverse head and shoulders bottom.
NYSE:SQEducation
by RonnieV29
6
BTC/USDT: Head and Shoulders Pattern with Bullish Continuation Phello guys. let's dive into btcusdt! Analysis: Inverse Head and Shoulders Pattern: A clear inverse head and shoulders pattern is visible on the 4-hour chart, signaling a potential trend reversal. The head is formed at 93,842 USDT, with left and right shoulders forming near 96,598 USDT. Neckline Resistance: The neckline resistance at 102,698 USDT has been tested multiple times, hinting at potential upward momentum. Fib Retracement Levels: The 0.618 Fibonacci retracement level at 96,598 USDT acted as strong support for the right shoulder. The breakout target aligns with the 108,991 USDT zone, derived from the measured move of the pattern. Bullish Projection: The price could rally toward the 105,798 USDT mid-resistance zone, with a higher probability of reaching the 108,991 USDT target. Summary: Support Levels: 96,598 USDT (Fibonacci and right shoulder support). 93,842 USDT (head level). Resistance Levels: 102,698 USDT (neckline). 108,991 USDT (target zone). Outlook: A confirmed breakout above 102,698 USDT could lead to a sharp upward move, targeting the 108,991 USDT zone. Trade Idea: Watch for a neckline breakout with strong volume or consider a pullback toward the right shoulder for better risk-to-reward opportunities.
Long
by melikatrader94
3
Future possible downturn!Hi Everyone, I thought I would put this out there to see what people think. Charting the entire history of Fastenal Company (FAST) shows that the market and this company is not only at an all time high but to continue on the same path would mean going straight up! This cannot continue for long before there is a major movement down. If we mirror the past but as a downturn I see a "Head and Shoulders" pattern showing up in future charts (as drawn on the chart). I saw this showing up on a lot of charts of different companies. However, I was not sure how this downturn would happen. Now that the election is over, I can see how this downturn would show its self in the economic plans of the newly elected president. If he is able to carryout his economic agenda of tariffs and mass deportation it will be the catalyst for this historic event. People are going to think that the economy is being destroyed. Look for this event to materialize more and more as the president's economic plan is implemented and shows up in the charts!
NASDAQ:FASTShort
by Prosperitus
Zomato Ltd. - Head and Shoulders PatternA potential Head and Shoulders pattern is visible on the daily chart, signaling a possible trend reversal. Here's a detailed breakdown: Pattern Highlights: Left Shoulder: Formed in mid-August with resistance near ₹279.60. Head: A peak in September crossing ₹279.60 but failing to sustain. Right Shoulder: Currently forming, respecting the resistance zone at ₹279.60. Key Levels: Neckline Support: ₹238.99. A decisive close below this level could trigger a bearish breakdown. Resistance: ₹279.60, acting as a strong barrier for bullish momentum. Indicators: RSI (Relative Strength Index): Currently neutral but showing potential weakening momentum. Moving Averages: Price hovering near the 50-day EMA, with the 200-day SMA as a key support level. Potential Scenarios: Bearish Breakdown: A close below ₹238.99 may open doors to lower levels, with the first target around ₹220. Bullish Invalidity: A breakout above ₹279.60 could invalidate the pattern, leading to further upside momentum. Volume Insights: Noticeable volume reduction in the right shoulder formation, aligning with the classic characteristics of this pattern.
NSE:ZOMATO
by AngshumanSaikia
QUALCOMM DEEP DIVE (DD): A Trillion dollar Market Cap InboundQUALCOMM DEEP DIVE (DD): A Trillion-dollar Market Cap Inbound In this video, we will be doing a DEEP DIVE into: 1.) NASDAQ:QCOM H&S Pattern 2.) Why Qualcomm is a great investment, 6/6 score 3.) Implications for NASDAQ:INTC & NASDAQ:MBLY if they're acquired by Qualcomm. BULLISH MOBILEYE! 4.) Combining fundamental & technical analysis into investing I worked really hard to prepare this video; if you enjoy it, please consider sharing. 🙏 NFA #investing
NASDAQ:QCOMLong
by RonnieV29
10
EurUsd Analysis | Rebound in short term?The euro hit a 4-1/2-month low against the U.S. dollar as investors worried about possible U.S. tariffs which would hurt the euro area's economy. The greenback was within striking distance of the levels seen right after the U.S. presidential election against major currencies as markets focused on data and Federal Reserve speakers and waited for clarity about future U.S. policy. Analysts expect measures from President-elect Donald Trump to put upward pressure on inflation and bond yields while limiting the Fed's scope to ease policy. However, they see investors trading on economic data and clues about the rate outlook before seeing what Trump's policies would actually be in practice. Market participants flagged that the sensitivity of the euro to the threat of higher U.S. import tariffs was evident late Friday, when media reported that Trump was lining up Robert Lighthizer, seen as a hawk on trade, to run his trade policy. However, two sources familiar with the matter said Lighthizer has not been asked by Trump to return to the agency overseeing trade policy. That said, from a technical point of view, the pair is very interesting to follow in the short term, if we look at the 4H chart, we have reached a very important support area, so we do not exclude some bullish movement. If the pair will trigger a technical bounce it should do so with at least 3 legs, and in this case it could still form a bullish Head and Shoulders Pattern (not shown on the chart, but quite simple to imagine). The most speculative bulls are trying to take long positions on the resistance, the more cautious Traders could wait for the formation of the right shoulder taking a position with a stop loss under the Head. Thanks for watching.
Long
by TheAnonymousBanker
1
Shipping Corp of India Ltd (SCI) - Weekly Head & Shoulders Watch🚨 Potential Head and Shoulders Pattern forming on the weekly chart, signaling a possible bearish reversal if the neckline breaks. 📊 Key Levels to Watch: Neckline Support: ₹203.32 - A weekly close below this level would confirm the pattern, potentially leading to a further decline. Right Shoulder Resistance: ₹235 - ₹270 - If the price fails to break above this zone, the bearish structure stays intact. 🎯 Target (upon breakdown): ₹177.72 - Calculated from the height of the head to the neckline. 📈 Alternative Bullish Scenario: If SCI breaks above ₹270.60, the Head and Shoulders pattern could be invalidated, potentially signaling bullish momentum towards previous highs. 📉 Indicators: RSI shows a slight uptick, but a downward trend could confirm the bearish setup. Watch for a volume spike if the price breaks the neckline, as it would strengthen the bearish case. Disclaimer: T his is not financial advice. Keep an eye on these levels and manage your risk accordingly!
NSE:SCI
by AngshumanSaikia
Multi-Timeframe Insights and Potential Reversal Points!OANDA:XAUUSD Multi-Timeframe Analysis (2Hr - 4Hr) 1st - Falling Wedge (2Hr) 2nd - Head and Shoulders (4Hr) 3rd - Bearish Divergence (Daily) 4th - Extreme Overbought (Weekly) 1 - Falling Wedge Pattern (2-Hour Chart) On the 2-hour chart, we identified a falling wedge pattern suggesting potential price movements. Initially, the price may decline from the breakout line, potentially reaching the 2724 - 2714 range. After reaching this level, we expect a bounce towards 2754 - 2762. If the price falls from the breakout line and reaches 2714 - 2724, it’s important to closely monitor the 4/8 Murray Math Level (MML) at 2734 during the bounce, as this Major Resistance level could cause a decline. Falling Wedge Target: 2783 However, around 2754 - 2762, prices may face resistance as the Head and Shoulders pattern completes, potentially signaling a reversal point. 2nd - Head and Shoulders Pattern (4-Hour Chart) On the 4-hour chart, the left shoulder and head have completed, with the right shoulder partially formed. After the right shoulder completes, we anticipate a potential drop towards the neckline, which lies between 2724 - 2714. Should this level break, the Head and Shoulders pattern projects targets at 2675 and further down at 2656. 3rd - Bearish Divergence (Daily Chart) Daily chart analysis reveals a bearish divergence, signaling a possible downside. Bearish divergences often indicate weakening momentum and could precede price declines. 4th - Extreme Overbought Zone (Weekly Chart) On the weekly chart, prices are currently in the extreme overbought zone, which historically hints at a likely correction. Traders should watch for signs of price weakness at these elevated levels. Key Levels to Watch; Resistance: • 2783 • 2773 • 2762 • 2754 Support: • 2734 • 2724 • 2714 Price Targets; Falling Wedge Price Targets: • 2783, 2754, 2762 Head and Shoulders Price Targets: • 2734, 2724, 2714, 2675, 2656 ⚠️ Note: This analysis is intended for informational purposes only. Please use appropriate risk management. Happy Trading! 🚀
OANDA:XAUUSD
by SpicyPips
Hey SPYLOVERS here are 3 Scenarios for this week check it out...Another week analyzing SPY's behavior correctly as we planned. I’d like to invite you to review my previous analyses of the price movements throughout the week, so you can see that I base my strategy solely on price action and institutional supply and demand concepts—simple methods that the price has respected. In this case, we won’t be seeing historical highs anytime soon. I believe we’re in a pullback where we need to monitor closely to see if the price might return to the order block I have around $563.60. This area is significant because it’s where the highest concentration of orders in the market is currently positioned. If we look at the last candle SPY closed with, although it ended higher than the previous one, it’s still showing selling pressure, so we’ll likely continue on the path of selling for a few more days. The key is to analyze the next move the price makes when it touches the order block: Here are 3 possible Scenarios. Scenario 1. If the price reaches this zone ($563.60), it might dip a little further as a fake-out before bouncing back strongly. Here, we need to pay close attention to the candlestick pattern that appears in this area. Scenario 2. If it respects the order block but doesn’t bounce with enough strength, we might be witnessing a Head and Shoulders pattern forming, which could later bring the price to the inflection zone (the blue middle area). Scenario 3. If the price breaks my order block with strength and volume, then we’re validating a CHoCH (Change of Character), where we could see the price move to the inflection zone (the blue middle area). No matter what happens, remember to always watch the candlestick pattern and the volume. That’s the main fuel behind the price's strength, and analyzing it this way will make your analysis more accurate. Thank you for supporting my analysis. TRADE SAFE! Best regards.
AMEX:SPYShort
by RocketMike111
3
Bullish End of Year?This chart shows the price development of Alphabet (Google). Since reaching its high in July, the stock has been in a downward correction. However, it now appears that this correction may be ending. The price has formed a higher low, which could serve as the right shoulder in an inverse Head & Shoulders pattern. Additionally, the SMAs are bullishly aligned once again. If the price breaks above the 38.2% Fibonacci level, I anticipate a bullish move toward the end of the year.
NASDAQ:GOOGLong
by p4917
2