When a possible Head N shoulder pattern is setting up
You can measure the left hand side (Shoulder) Top to (Head) Top -The time or trading days it has taken to form - and than the right hand side Shoulder
Top we can predict with same approximation
Where as in this case it has turned out excatly the same amount of trading days which is 46 days
Again we can confirm that trade and initiate short with some indicator or simple trend line break
Click on the Image to Enlarge - to get a better view
Equity Trading Tips-Helpful blog for improving trading experience & very well describe about its pattern with some useful information on regular basis by author.
ReplyDeleteThanks for the amount of work to provide an informative article. I will certainly store it as a major point of future reference.
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