1.The GREEN LINE: this is a daily uptrend line that after being broken, was retested and start to fall (very top of right shoulder). considering the formation of the LH, it was the first reliable sign of the beginning of a downtrend.
2.THE YELLOW LINE: this line is a nice support and resistance line WHICH IS CORRESPONDED TO THE NECKLINE OF THE H&S PATTERN.
3.THE BLUE ZOONE: from the chart, it is quite clear that the price could also break the blue zone as horizontal support, and at the moment we see a retest.
by putting them together we can see that we have an intersection between our very important yellow line and the blue zone, both of which have enough potential to push the price lower.
the red line is the 1st target.
2nd and 3rd targets are in the wayIf everything goes according to our expectations.
NOTICE: as everybody knows trading is reactive and not predictive, so we should always have the second scenario in every analysis. the dashed arrow would be our 2nd scenario if the price could rise up over the intersection strongly.
>>> zoom out to have a better outlook.
get the confirmation from 4H tf.
Goodluck...
2.THE YELLOW LINE: this line is a nice support and resistance line WHICH IS CORRESPONDED TO THE NECKLINE OF THE H&S PATTERN.
3.THE BLUE ZOONE: from the chart, it is quite clear that the price could also break the blue zone as horizontal support, and at the moment we see a retest.
by putting them together we can see that we have an intersection between our very important yellow line and the blue zone, both of which have enough potential to push the price lower.
the red line is the 1st target.
2nd and 3rd targets are in the wayIf everything goes according to our expectations.
NOTICE: as everybody knows trading is reactive and not predictive, so we should always have the second scenario in every analysis. the dashed arrow would be our 2nd scenario if the price could rise up over the intersection strongly.
>>> zoom out to have a better outlook.
get the confirmation from 4H tf.
Goodluck...