Get started

Invertedheadandshoulders

Bridgestone Corp WCA - Inverted head and shouldersCompany: Bridgestone Corporation Ticker: 5108 Exchange: TSE Sector: Automotive & Auto Parts Introduction: Greetings, and thank you for taking the time to read this analysis. Today, we are examining the weekly chart of Bridgestone Corp on the Tokyo Stock Exchange (TSE). Our focus is on a classical price pattern known as the inverted head and shoulders, which here manifests as a bullish continuation pattern. Inverted Head and Shoulders Pattern: The inverted head and shoulders pattern on this chart has been forming over a 686-day period. This pattern is particularly compelling due to its near-perfect symmetry, represented by the symmetry line. The current resistance, also referred to as the neckline of the price pattern, has seen multiple tests and is sitting at 5468. Bullish Environment: Notably, the price remains above the 200 EMA (Exponential Moving Average), which typically indicates a bullish market environment. Therefore, we are patiently waiting for a clear break of the neckline. Trade Strategy: To avoid premature breakouts, we could combine this trade with a breakout filter. Upon successful breakout, the price target stands at ¥6883, representing a potential price increase of approximately 26%. Conclusion: The weekly chart analysis of Bridgestone Corp reveals an emerging inverted head and shoulders pattern, suggesting a bullish continuation. As always, when trading based on chart patterns, it is essential to consider risk management and adequate position sizing. Please note that this analysis does not constitute financial advice. Always conduct your own thorough research before making investment decisions. If you found this analysis helpful, please consider liking, sharing, and following for more updates. Happy trading! Best Regards, Karim Subhieh
TSE:5108
by KarimSubhieh
WBD | Wave Analysis | Downtrend breakout | Inv. Head & ShouldersWBD : Wave projection - weekly price action and chart pattern analysis > The downtrend channel 5 motive wave breakout with a possible valid inverted head * shoulders pattern formation > A potential ABC correction uptrend pattern - a typical wave b bull flag pattern for right shoulder pattern targeting at 0.618 - 0.786 fibonacci retracement of wave a. > If successfully breakout neckline - TP wave c at 1.618 extension of wave a near MA200w zone +100% > SL @ IHS position -20% downside > Indicator : RSI week bullish divergence Always trade with affordable risk and respect your stoploss Good Luck
NASDAQ:WBDLong
by dukeposh
Ethereum Hasn't Reached 1.5x Target of its HSiThe eth/btc pair confirmed an inverted HS a while back, and hasn't yet reached its TP2 (or a 1.5x measured move from the neckline). It hit TP 1 and has since consolidated between TP 1 and the 0.5x halfway mark. It may get a chance to test that area again, potentially even falling into the Accumulation Zone shown on the chart, which might be a good spot to increase position. It also may not. Look for an eventual move to TP 2. Alternatively, I think there's a chance it could fall as low as ~0.025, making a move symmetrical to the one on the far left of the chart before finally firing back up towards 0.1 and higher. See links to related ideas below, including the alternate move back down near 0.025.
Long
by dudebruhwhoa
AMZN - inverted Head & ShouldersAMZN went through a complex Wckyoff Distribution that began from Sep2020, lasting more than a year before succumbing to the bear market of 2022. Finally in Dec 2022 it dipped into a long term support area (80-84) and began to find support. The recovery since then has been choppy and an inverted head and shoulders (bottoming) formation began to take shape in this process. Last Friday, AMZN finally broke above the neckline (zone 104-105.50) to close 106.96. Could this be another "false" breakup as it had happened earlier on 2nd Feb this year? We will not know for sure however the odds have improved with the formation of an inverted H&S formation (a bullish reversal pattern with good odds of success, though nothing is 100%). With earnings expected on the 27th Apr, there is some risk taking a position now. However any dip going forward might find support around 95-06 region and could be opportunity to accumulate. Let's see what happens after earnings! Disclaimer: Just my 2 cents and not a trade advice. Kindly do your own due diligence and trade according to your own risk tolerance and don't forget that money management is important! "Let winners run and cut losses short". Take care and Good Luck!
NASDAQ:AMZNLong
by Juliac
3
Gold Outlook 21 April 2023Gold reversed strongly after having reached the resistance area of the 2050 price level, testing a low of 1970. However as the price failed to break above the 50% Fibonacci retracement level overnight, a continuation of the downside can be expected but could be limited Watch price action along the 1985 price level where a rebound from this level could form an inverted head and shoulder pattern, with the neckline at the 2010 price level. This inverted head and shoulder pattern could lead to a resumption of the uptrend for Gold. Naturally, the directional bias of Gold will also be dependent on the DXY.
OANDA:XAUUSD
by JinDao_Tai
DYDX/USDT - bullish pennant with 2-3x potentialDYDX/USDT is showing a very promising bullish setup which will likely break out soon. In this setup we can see a bullish pennant which is shaped like an inverted head and shoulders pattern that's near completion, successful retests of the previous downtrends and price sitting above the previous 2.50 resistance. I really like the look of this setup and expect to see high double digit % returns and potentially even a 2-3x depending on the momentum of the breakout. _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ - Buy zone: current price range, anywhere near the tip of the pennant or if you prefer a safer approach buy the breakout - Targets are marked in the chart In case of a pattern failure look for support on the dashed trend lines for a potential re-entry. _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ I will try to keep this idea updated as the chart develops. Best of luck and let me know what you think!
Long
by Wolfy_
Inverted Head and Shoulders Pattern: A Comprehensive GuideThe inverted head and shoulders pattern is a popular and reliable technical chart pattern used by intermediate and advanced traders to identify potential reversals in market trends. This guide will provide a step-by-step approach to trading this pattern, covering key concepts and actionable strategies. Understanding the Inverted Head and Shoulders Pattern The inverted head and shoulders pattern is a bullish reversal pattern that occurs at the end of a downtrend. It consists of three troughs, with the middle trough (head) being the lowest and the two adjacent troughs (shoulders) being higher but roughly equal in depth. The pattern is completed when the price breaks above the neckline, a resistance level connecting the two peaks formed between the troughs. Identifying the Pattern To identify the inverted head and shoulders pattern, follow these steps: a. Volume Analysis - Look for decreasing volume during the formation of the left shoulder and the head - Volume should increase during the formation of the right shoulder - Expect a significant increase in volume during the breakout above the neckline b. Trendlines and Support Levels - Draw a trendline connecting the peaks between the left and right shoulders to define the neckline - Establish support levels by identifying previous swing lows and areas of price congestion Key Rules for Trading the Pattern - The pattern is only valid when it forms at the end of a downtrend - The pattern should be symmetrical, with the shoulders roughly equal in depth - Wait for a breakout above the neckline before entering a trade - The neckline should act as support after the breakout Entry Strategies Choose between a conservative or aggressive approach based on your risk tolerance: a. Conservative Approach - Enter the trade after a confirmed breakout above the neckline - Wait for a retest of the neckline as support before entering b. Aggressive Approach - Enter the trade before the breakout, as the right shoulder is forming - Use additional technical indicators, such as RSI or MACD, to support your entry decision Setting Stop Loss and Take Profit Levels - Set your stop loss below the right shoulder or the head, depending on your risk tolerance - Determine your take profit level by measuring the distance from the head to the neckline and projecting that distance upwards from the breakout point Common Pitfalls and How to Avoid Them - Entering the trade too early, before the pattern is fully formed - Failing to wait for a breakout confirmation above the neckline - Ignoring volume analysis, which can provide important clues about the pattern's strength Real-Life Examples and Case Studies - Study real-life examples of inverted head and shoulders patterns such as the one attached to this idea or others I have posted previously to reinforce your understanding and develop your pattern recognition skills. - Analyze different market conditions and timeframes to gain insight into how the pattern performs under various circumstances. The inverted head and shoulders pattern is a powerful tool for identifying potential market reversals at troughs. By understanding the pattern's structure, following the key trading rules, and adopting appropriate entry strategies, intermediate and advanced traders can capitalize on this reliable chart pattern.
Education
by bitdoctor
Inverted Head & Shoulders with Golden CrossIt's not a coincidence that Elon was on twitter having a who wore a golden cross better with the pope. This idea is using the 200D and 50D golden cross and an Inverted Head & Shoulders and a price target of 300. Be Warned. TSLA has faked out many large structures and major MA crosses to trap both Bulls and Bears. I bought weekly OTM puts on TSLA before close on Friday but I will stop out and enter long should this structure retest. It really depends how the Biden Admin handles this most recent surprise OPEC+ supply cut just as they need to restock SPR. This could be the moment the FED has to pivot and Powell turns back on the printer to pay for it or someone is getting their hand slapped.
NASDAQ:TSLA
by SPYvsGME
1
DGBUSD: Inverted Head and Shoulders Above POCDigibyte on many charts is breaking out of a falling wedge while showing us a 3 Line Strike on the monthly and on these charts the macro move you'd expect would take s between 12 and 20 cents, with that in mind i now look on the more liquid Bybit Chart and can see that 12 cents would be the 1.618 Extension and that it is currently trading above the POC after forming an Inverted Head and Shoulders pattern. If we breakout i would target the 0.886, then i would target the 1.618 for profit taking.
Long
by RizeSenpai
BTCUSDT | TFW Wave Analysis | Inverted H&S Retesting Neckline?The current uptrend wave is potentially a leading diagonal with a valid inverted head & shoulders reversal pattern breakout - now with a DOJI candlestick this week, the price could retrace to the neckline level 25k, watchout for a false breakout then most likely to breakdown - SHORT ENTRY to the neckline level and EMA200 week -20+% downside (A valid inverted H&S consists of a strong downtrend with at least twice length of the head & shoulders pattern and massive volume breakout)
Short
by dukeposh
1
BOOK of SAMUEL: DAVID V GOLIATHWow! This is a first for me, in such a large timeframe. Looking at both patterns forming. The larger head & shoulders pattern may take precedence, as it is generally considered to be a more significant pattern. If the H&S pattern is confirmed, it would suggest that the uptrend is ending and that a downtrend may be beginning. However, if the Inverted H&S pattern is also confirmed, it could indicate that the trend is changing and that an uptrend is beginning.
CME_MINI:ES1!
by theswiftninja
NVDA: Incredibly Bullish!• NVDA is very bullish, and it seems it wants to hit its next resistance at $289; • As seen in the weekly chart, there’s no top sign nor weakness signs indicating that it could correct from here; • What’s more, NVDA triggered an IH&S chart pattern in January, and it did an upwards breakout from the Descending Channel (purple lines) it was trapped inside; • Could NVDA correct from here? Yes, and a pullback to its 21 ema would be acceptable, as the last time we hit it was a couple of months ago. However, in order for a pullback to materialize, we must see a reversal pattern in the daily chart: • In the daily chart we see nothing but a series of higher highs/lows, above the 21 ema – An incredibly strong bull trend; • We would need to see a clear bearish structure, like a lower high/low, a top/reversal chart pattern like a Double Top, H&S, etc. So far, there isn’t any meaningful bearish sign; • In this scenario, NVDA could trigger a sharper correction, and maybe even fill the gap at $210 (which is very close to the 21 ema in the weekly chart, by the way); • However, even if NVDA does a correction of this magnitude, it wouldn’t ruin the bull trend seen in the weekly chart, only in the daily chart; • I’ll keep you updated on this. Remember to follow me to keep in touch with my daily analysis!
NASDAQ:NVDA
by Nathan_The_Finance_Hydra
6