There is a head and shoulder that already formed, broke out of the neck line and retraced. Retracements are expected and normal in Head and Shoulder patterns before it takes off.
However the downward candle that formed before the market closed is not showing any wicks. It is important that we wait for a reversal candle stick before we go long.
If we see further retracement, we wait and see what the price action is around the square that I drew before we make any decisions.
All discussions, questions, criticism are welcome and encouraged. I am on a journey to become a profitable trader, and I will be posting all my analysis even if my predictions are way off. This is the only way to get better; through constructive criticism
However the downward candle that formed before the market closed is not showing any wicks. It is important that we wait for a reversal candle stick before we go long.
If we see further retracement, we wait and see what the price action is around the square that I drew before we make any decisions.
All discussions, questions, criticism are welcome and encouraged. I am on a journey to become a profitable trader, and I will be posting all my analysis even if my predictions are way off. This is the only way to get better; through constructive criticism