It's about to draw a inv head and shoulders after resistance turned into support. What I would like to see next is a volume breakout over the 30 day average, thats missing for now.
Building small position and adding on breakout of the inverse head and shoulders pattern.
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breakout
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booked 1/3 profits after x3. hit 1.618 fib level, might consolidate around the all time high level now
@andreaandretta, the real trade and price action should start after breaking the neckline of the head and shoulders pattern. Yet its too early to find targets, must see how the trade evolves.
jowerz
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How do you know which scale to draw the head and shoulders at, and is an inverse head and shoulders indicative of price breakout, or does it need to break the neckline for that to happen?
koryu
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@jowerz, the main buy signal occures after the inverse head and shoulders pattern is completed and the neckline is broken. Often neckline gets tested again after the breakout.
jowerz
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@koryu, But which interval do you know to check for head and shoulders, 30minutes, 1 hour, or it works at every fractal?