Technician
Short

Intel: Reversal Pattern Confirmed!

NASDAQ:INTC   INTEL CORP
2557 10 90
  • A Major Reversal Head and Shoulders pattern completed on Intel             .
  • The price has taken the neckline for the pattern at 29.00-29.50 level.
  • The Measured move or Ideal text book target is the distance from the head to the neckline, projected from the breakout below the neckline. And that points to another 29% decline. However, I see an appropriate first target at the main long term rising trend line shown on chart. A more aggressive target near the long term major support around 19.30.
Perfect entry area is on a retest of the broken neckline around 29.00. The trickiest part of the setup is stop placing, for me, I always like the stop to be above the right shoulder. However, in this case it will be a wide stop and hence decrease the risk-reward. Alternatively, a weekly closing above 32.60 will be my stop. Another option is to exit on a breakout above the falling trend line that connects the head and the right shoulder(shown on chart)

My best regards
Technician
Subscribe to my trading portal http://thefxchannel.com

Latest trading ideas: https://www.youtube.com/channel/UC02s7uiUQl55HkhHZDM6eUw/videos

Free Telegram Channel: https://t.me/technician_forex_trades

Trading Signals Redefined: https://thefxchannel.com
Is a good graphic, and a good opportunity to short, but the only problem that i see, is than the stock are above your exponential moving average 200-days, and is not recommended short a stock above this indicator.
But, good job! ;)
Reply
Nice, my trade finally played out...
snapshot
+1 Reply
nice :)
Reply
I like the setup Technician, very nice simple analysis as always! =D
Reply
Great work as usual! Thank you very much!
Reply
really NICE setup! Trade 20? :D
Reply
:)
Reply
Neckline with a downward slope may cause that instead of Head and Shoulder pattern we will have an ABC correction
Reply
Thanks for your comment. The two lows for both shoulders are very close , in my view i consider it a horizontal neckline instead of a downward sloping.
Reply
Dawid_CEO Technician
Last week i have got a nearly identical situation on polish stock market, but firstly i always decide to take a chance on Head and Shoulder pattern
+2 Reply
United States
United Kingdom
India
Deutschland
España
France
Việt Nam
Italia
Polska
Brasil
Россия
Türkiye
Indonesia
Malaysia
日本
한국
简体
繁體
Home Stock Screener Forex Signal Finder Cryptocurrency Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators Website & Broker Solutions Widgets Stock Charting Library Feature Request Blog & News FAQ Help & Wiki Twitter
Profile Profile Settings Account and Billing Support Priority Support Report Issue Ideas Published Followers Following Private Messages Chat Sign Out