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Head and Shoulders

NZDUSD Stuck with Conflicting SignalsNZDUSD is at a key technical junction. The previously broken and retested head and shoulders formation is exerting downward pressure, but the important support zone between 0.5825 and 0.5850 is holding for now. The 100-day and 200-day moving averages have also formed a tight support-resistance range, causing the currency to remain trapped in a narrow range. Both the Federal Reserve and the Reserve Bank of New Zealand are expected to cut rates twice this year. Growth expectations for 2025 are closely aligned, with only a 0.3-point advantage for the U.S., and the gap is narrowing. Inflation expectations are also similar, with U.S. figures slightly higher, mirroring the GDP trend. The 2-year bond yield spread between the U.S. and New Zealand has remained flat since April. During that time, NZDUSD climbed from 0.55 to 0.61 before pulling back to the current level near 0.5890. Similar fundamental statistics and conflicting technical signals have caused NZDUSD to form an uncertain range between 0.5930 on the upside and the 0.5825–0.5850 support zone on the downside. If either of these key levels breaks, volatility may return quickly. A break above 0.5930, which coincides with both the broken neckline and the 100-day moving average, could push the price toward the descending trendline from the 2021 top (highlighted in blue on the chart). On the other hand, a break below the 0.5825–0.5850 zone which also includes the 200-day moving average, could trigger a move toward the head and shoulders pattern target, currently near 0.57. The first two weeks of August will be crucial for the dollar index, following the sharp downward revision in payrolls data. Market reaction, revisions to expectations, commentary from Federal Reserve members, and the release of July inflation data will provide greater clarity. This wave of information could finally break NZDUSD out of its current indecisive range.
Short
by ftdsystem
ETH - next 10 days longHello traders :) My technical analysis according to market sentiment. ~~~ 4000 USD for ETH is crucial to cross and stay above (ratio for this price is 0.035 BTC/ETH and BTC 115 000k ~~~ BTC.D -> going down 61.66% (we touch PoC 65% and now going slowly down, we need to go down below 60% for real altcoin season ) BTC/ETH is going up (currently we reached PoC - 0.032, targets 0.05-0.08), USDT.D -> going down (PoC - 4.25 %, should be arround 2.2% when we peak bull market - can be extended to 2026) BTC.D ETHUSD USDT.D ETHBTC If ratio for BTC/ETH is arround 0.05 and BTC has value 135000 USD , then ETH can reach 6800USD which is very reasonable price to reach. BTC goes sideways 110k-118k , ETH need to go up and cross main resistance 4000 USD. We can continue bull market for next 2-4 months. Write me if you want what do you think about this progress ? Best regards Norbert
BINANCE:ETHUSD.PLong
by orbiq
Another formation of head and shoulderSolano possibly forming a head and shoulder weekly pattern. Watching the support is critical which confirms the head and shoulder pattern and a reversal opportunity to a lower target such as the trendline support or even lower. An invalidation of the left shoulder open opportunity to break out the ATH and target higher. The weekly moving average holding a support at the moment and price didn't dip lower. Keeping major economics in mind the higher highs and expectation of cutting interest rate could invalidate the head and shoulder pattern.
by Moemony
2
Short Volatility during rare spikes using leveraged ETF $UVXYOverview Volatility represents how greatly an asset’s prices swing around the mean price. Historically there are rarely brief volatility flare-ups that present trading opportunities. Trying to anticipate volatile events can be costly, because other market participants generally expect the same well known events, and one never knows how big a volatility spike might arise from a given event. Instead if one merely awaits extreme volatility events, which historically are ephemeral, there's a higher probability trade in shorting it. I've thought about this previously, and took the opportunity with Liberation Day to successfully short volatility. Volatility Instrument Selection Choosing an appropriate instrument can aid in the likelihood of a successful short position. Among the options CBOE:UVXY looks attractive for the trade, because it's a leveraged ETF, is highly liquid, and provides options with granular strike prices and expiration dates. Leveraged ETFs are known to decline over time due to Daily rebalancing and compounding effects Volatility drag Cost of leverage Management fees and expenses Path dependency These characteristics of leveraged ETFs provide a structural tailwind to a short position, because the instrument naturally declines over time. This phenomenon easy enough to see on a CBOE:UVXY weekly chart Moreover selection of a liquid product is prudent. At the time of writing CBOE:UVXY has an average daily volume north of $22 million dollars for the past 30 days. Trade execution Execution of the trade starts with recognition of a highly volatile event, this is both technical and discretionary. From there a trader is advised to use their preferred tactics to select entry, stop-loss and exit points. Personally I like to use chart patterns across different timeframes in tandem with Relative Strength Index, and to a lesser extent volume to identify trading setups. I use longer term charts to identify a trend, and shorter timeframe charts to determine entry and exit points. The timeframe(s) depend on the particular instrument and what the charts look like at the time of the trade. During the Liberation Day Volatility Short trade, I've been using 1W, 1D, 4H and 1H charts. The 1H chart has been suitable for entering an exiting trades. Head & Shoulders patterns have manifested both on price and momentum alongside declining volume. I've posted a couple CBOE:UVXY minds along the way. Additional Thoughts Volatility can also be used generally to anticipate moves in other asset classes, such as stocks, bonds, crypto and commodities. Using the levels from that last chart fed into successful NASDAQ:TQQQ & NASDAQ:SQQQ trades in the aftermath of Liberation Day.
CBOE:UVXYShort
by quickshiftinn
Crude Oil Price Action & Pattern Analysis Bearish Wedge Breakdown: The price was consolidating in a descending triangle / wedge pattern. It has now broken below the wedge, suggesting potential bearish continuation. Key Support Zones: Immediate support near 68.60 - 68.80 (highlighted in blue). FOREXCOM:USOIL The break of the 68.60 level with a strong bearish candle would serve as confirmation of a Head and Shoulders (H&S) pattern , with solid bearish implications. Stronger support around 66.20 - 66.50 , which is a previous demand zone. Resistance Zone: The red zone around 69.40 - 69.50 represents a rejection area , and the price failed to break above it.
TVC:USOILShort
by SaklainManzoor
Loss of Momentum Pattern Into StructureSimilar to the OANDA:GBPJPY that I shared, the OANDA:EURAUD has put in a pretty aggressive and direct move into a previous level of structure. However, what makes this opportunity different than "the beast" is that as price approach our level of resistance we started to put in a rising channel which is a loss of momentum pattern along with other clues such as divergence on the RSI. If you have any questions, comments or want to share your views, please do so below. Also be sure to hit that like button & give me a follow, that way you don't miss my future trading ideas. Akil
Short
by Akil_Stokes
BITCOIN 15-Min Chart – Key Support Retest with Bullish PotentialThis 15-minute BTCUSD chart shows Bitcoin retesting a strong support zone near $112,680 after a clear downward move. The price is currently reacting at a previous demand area, marked in blue, just above the session’s LOW. A possible bullish reversal setup is forming if the support holds, targeting the previous HIGH around $114,000 and a potential TP at $114,200. Traders may look for confirmation signals (e.g., bullish engulfing, order block reaction) before entering long positions.
BITSTAMP:BTCUSDLong
by mcflaryjr
USD Turns GBP On Its "Head"FX:GBPUSD has formed a Head & Shoulders Pattern! Price has already broken down below the "Neckline" to Confirm that Pattern. Currently, Price is working its way back up to retest the Breakout and if the level is strong enough and holds, we could see Price follow through with its reversal to lower prices! If the retest is successful, the May 12th Lows of 1.31741 - 1.31394 could be a good Support level to set as a Price Target. Now we wait for a Retest!
Short
by Novi_Fibonacci
11
Bull Trap Confirmed: GBPUSD's 8% Rally Faces ExhaustionLets Face it we had a great 6 months already clocking 60%+ Returns already. And after sitting ducks for almost 2 months now we finally have a trade. - Its a very self explanatory chart - Trading at resistance - Head & Shoulder pattern And the best part the right shoulder is still yet to be formed! My favourite type of entry. 1.It gives a better risk reward ratio (1:7 expected) 2.Better Entry (No long red candles) 3. And even if the pattern fails it we may still reach the neck line which is target 1. Entry Criteria - A Red candle at the entry Line Marked - Stoploss Above the Entry Candle Target 1- 1.3361 Target 2- 1.3252 Target 3- 1.3169 Keep Your Risk Reward Intact! Not An investment Advice
Short
by REUBEN_EUSTACE
#BTCUSDT – Healthy Correction, Not the End!Bitcoin is currently experiencing a healthy pullback after an impressive run, testing the neckline of the Inverse Head & Shoulders breakout on the 1D timeframe. 🔹 Current Market View: BTC is retesting the neckline of the IHS pattern, which now acts as a strong support zone. Price is holding near $113K–$115K, which is crucial for maintaining bullish momentum. This dip is a healthy correction, flushing out over-leveraged positions and preparing for the next leg up. 🔹 Key Levels: Support Zone: $113,000 – $115,000 Immediate Resistance: $120,000 – $122,500 Breakout Target: $165,000+ on the next bullish wave 🔹 Market Sentiment: Holding above the neckline keeps the bullish structure intact. If the support holds, we can expect continuation to new highs once buying pressure returns. A daily close below $112K would signal caution and delay the next rally. 💡 Tip: Don’t panic on these red candles. Healthy corrections are part of a sustainable uptrend.
Long
by CoreCrypto1