Classic Head and Shoulders Pattern on the ChartI Spotted a Perfect Inverted Head and Shoulders Pattern
When I opened the GBP/USD chart on the 4-hour timeframe, something instantly caught my eye. It wasn’t just another price movement — it was a textbook example of a technical formation. Right in front of me was a perfectly shaped Inverted Head and Shoulders pattern.
First, I noticed the left shoulder — the price dropped, touched support, and bounced. Seemed like a normal correction at first. But then, the market plunged much deeper, forming a new low — the head. That move down was the turning point. Most traders expected more downside at that moment. But something was different — a reversal began to form.
Soon after, price dipped again, but didn’t go as low as the previous drop. That was the right shoulder taking shape — and it mirrored the left almost perfectly. This wasn’t just a pattern — it was the market speaking clearly: “The downtrend is over. Get ready for the reversal.”
I drew the neckline, which connected two key resistance zones around 1.3550. As price started approaching it again, I was ready — this could be the breakout point. And according to classic rules, the target is right around 1.3780–1.3800.
Why This Pattern Is So Special
The structure was so clean, so symmetrical, that I could easily drop it into any technical analysis course. It’s one of those rare moments when the market shows its hand clearly — all you need to do is see it, read it, and act on it.
