Head and Shoulders formation almost completed, trend reversal?
Enjin showing a clear head and shoulders pattern, currently still completing the right shoulder low towards the neckline. The completion of the right shoulder would be a signal that the trend is reversing and the upward trend is nearing its end. In my opinion, there are currently 2 scenario’s possible.
a) The price will drop below the neckline towards the support level before rising and breaking the neckline again to continue the upwards trend. This would show that the trend reversal would not be as solid as expected.
b) This is the more likely scenario which will mean that Enjin will break the neckline and reverse its trend. The neckline could be an interesting position to set up some shorts.
Let me know what you think will happen in the comments down below.
a) The price will drop below the neckline towards the support level before rising and breaking the neckline again to continue the upwards trend. This would show that the trend reversal would not be as solid as expected.
b) This is the more likely scenario which will mean that Enjin will break the neckline and reverse its trend. The neckline could be an interesting position to set up some shorts.
Let me know what you think will happen in the comments down below.