I am not one to speculate on future pattern formation but I am on the watch for a possible head and shoulders forming on ARKG. The pattern (if it ever forms) is missing the completion of the right shoulder so for now I will just wait calmly and see how it unfolds.
The Stochastic and RSI are curling up, which could propel a price increase in the short term (and form that right shoulder if the price retraces from the push up).
If the pattern does form don't hesitate to take your money off the table. H&S is one of the most reliable patterns and breaks out most of the times (in this case, to the downside as H&S is a bearish pattern). It would probably not be the cleanest textbook H&S but it would still fit main the criteria.
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It doesn’t look like a head and shoulders anymore. However, do you think it will form a double tap?
Safe_Trades
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@sfls1397, It is definitely not a H&S. It could be a double top but we won't know for sure until the pattern evolves. There are two ways to trade the double top: you can sell in anticipation to pocket as much as you can before the price drops (in case it does) or you can wait for confirmation, which happens only when price breaks below the confirmation line. There are pros and cos for both as you can figure. You need to see which one fits your style better. Unfortunately there is no way to know for sure at this point. I hope this helps. Safe trades!
willbain
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Hypothetically - head and shoulder formation closes out and a bearish trend begins - Good time to enter if eyeing long term gains on this stock? Theoretically speaking.
Safe_Trades
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@willbain, the head and shoulder didn't form. Take a look at my answer to sfls1397 above.