Head and Shoulders

  •  head-and-shouldersAnother reversal pattern
  • Works in a similar way to double tops
  • The name gives it away

You are looking for the distance of the reversal (x) to be at least the same as the distance from the resistance to the previous low(x), or the distance form the top of the head to the previous low (y).

In the opposite direction it is called an Inverted Head and Shoulders.

Always wait for the share price to make its move.

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