Stellar’s XLM looks like its finally gonna trigger the inv h&s pattern it had previously done a fakeout or 2 above the neckline of. We can see before on its first trip above the neckline the original right shoulder was extremely small…it then went back under the neckline and has since created a much more robust right shoulder before now finally breaking back above the neckline with the type of authority that gives me confidence that it will reach the measured move target this time. In doing so it should also take price action above this descending trendline its currently testing the resistance of which if it can do so and then flip that trendline to solid support should also trigger a breakout from a triangle pattern its been in for quite sometime that can then eventually lead to much higher breakout targets than just this inverse head and shoulder target allows for. *not financial advice*
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Target hit!
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I could see it correcting here eventually back down to retest the descending grey trendline for support before it tries to validate the breakout of that triangle. I will probably make a follow up chart idea on that target but just know if it validates the breakout where it just rose above from then the price target is gonna be aroun $2.60 or so.
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Upon closer look the grey trendline is part of a log chart triangle and thus i had to adjust the measured move line…if it triggers a breakout from the log triangle here the measured move would be eventually up to $2.20. This doesn’t mean it wont also reach $2.60 but it only had that high of a target because I was accidentally looking at the linear chart when placing the measured move line.