I think this the final H&S I could think of. Previous smaller H&S retest went a lot higher and invalidated the H&S. This one looks like playing out nicely. Either way we gonna see $1200 pretty soon.
I think the H&S, or any other pattern, is not a reason for such a strong selloff.
avka81
⋅
@SviCapital, The stock is overvalued and everybody owns it. Also the AMAZON bubble burst. When sell off starts its the liquidity that makes it go lower. According to Morgan Stanley, JP Morgan and Goldman Sachs this downturn will be a liquidity crisis. Most index funds, major indices, pension plans etc have exposure to AMAZON APPLE FB GOOGLE NETFLIX etc. Who will be buying in a downturn????
SviCapital
⋅
@avka81, who will be buying? The same pension funds that were buying in December. Their model forces them to allocate in equities.
avka81
⋅
@SviCapital, Yes but most of them under water. Margin Call is a B. Also Fed is draining the liquidity out of Markets. Until they cut rates and stop QT and re launch QE 4 you wont see a bottom in the Stock Market according to Hedge Fund managers etc.
CodedFlow
⋅
these guys are superexposed to a lot of bad markets... US might be fine... but the rest not really. on top of everything... the over evaluation and their bikinis will show in a drought ...