Tuesday, May 5, 2020

Head and shoulders

 https://www.ig.com/en/trading-strategies/10-chart-patterns-every-trader-needs-to-know-190514#Head_and_shoulders

                                                              

                                                 Head and shoulders

Head and shoulders is a chart pattern in which a large peak has a slightly smaller peak on either side of it. Traders look at head and shoulders patterns to predict a bullish-to-bearish reversal.
Typically, the first and third peak will be smaller than the second, but they will all fall back to the same level of support, otherwise known as the ‘neckline’. Once the third peak has fallen back to the level of support, it is likely that it will breakout into a bearish downtrend.
Head and shoulders patternHead and shoulders

No comments: