BTCUSD Inverse head & shoulders

Updated

So this is my idea for a possible inverse head and shoulders on the BTC chart. The bump and run reversal played out more or less (drop after break of main trendline) but has recovered quickly since then.

Please like so I can earn enough reputation points to leave comments! Thanks.

Note

Recommendation for trading this aggressively would be to go long between 7600 and 7650 with a tight SL (100-200 points), particularly if there's another bounce from that region. Take partial profits around 8300 and let the rest ride with a trailing stop.

A more conservative approach would be to wait until the neckline is broken (8450+) with volume, targets just above and below 9k. Maybe even 9.5-9.8K.

Note

So far it's following the pattern nicely, would expect a retest of the neckline in the next 12-24 hours if this plays out.

Interesting that both shoulders so far have similar fractal patterns, an early low followed by a steady incline.

The pink trendline I've drawn in the right shoulder should not break to keep momentum.

rickyjb

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