Could be wrong... but buying the support on $NAS could be smart

Facts don't always translate into reality, but the facts are here for the $NAS

statistics of head and shoulders patterns


- In 93% of cases, the exit from the head and shoulders pattern is bearish.
- In 63% of cases, the price reaches the objective of the head and shoulders pattern when the neck line is broken.
- In 96% of cases, the bearish movement continues at the break in the neck line.
- In 45% of cases, after exiting, the price makes a pullback in resistance on the neck line of the head and shoulders pattern.

Notes on the head and shoulders pattern


- The longer the movement before the formation of a Head and Shoulders (H&S) pattern is, the more forceful the bearish movement at the break of the neck line will be.
- The more abrupt the movement before the formation of a Head and Shoulders (H&S) pattern, the more forceful the bearish movement at the break of the neck line will be.
- Head and shoulder patterns with an upward neck line offer better performance.
- If the left shoulder is higher than the right shoulder, the head and shoulder pattern offers better performance.
- After exiting the head and shoulders pattern, pullbacks in resistance on the neck line are detrimental to performance.