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Headandshouldersformation

Nifty making Head & shoulder pattern|short nifty on right shlderHello Traders, Nifty is making head and shoulder kind of pattern in 15 mints, still right shoulder has to form, but according to SGX Nifty it is going to gap up opening today,,so once this gap up opening will execute that will touch right shoulder, and i think smart money will play short bet at that levels. Perfect Entry Levels to short:- Short on right shoulder range of (18585-18625) I think nifty will open somewhere here according to SGX Nifty. Stop loss:- if something goes against to our analysis then stop loss will act as capital saver so keep stop loss at 18719 Target:- First target 18550 , 2nd target 18485 Disclaimer:- Always consult with your financial advisor before initiating any trade And Always trade with stop loss to save capital erosion from unexpected direction trades. Like and Follow me, if you like my work here,, Thankyou:-))
NSE:NIFTYShort
by TraderRahulPal
"BankNifty at 44,483: Spotting the Head & Shoulders Pattern Real Time Application Date - 29th May / 30th May 2023 Head & Shoulder has unfolded on 29th / 30th May 2023 for Bank Nifty Index & Neckline is already broken to downside & we are waiting for break below 44250 -which is another key support Disclaimer: The information provided in this update is for educational purposes only and should not be considered as financial or investment advice. Trading and investing in financial markets involves risks, and past performance is not indicative of future results. Always conduct thorough research and consult with a qualified financial professional before making any investment decisions. The user assumes all responsibility for their investment actions. ------------------------------------------------------------------------------------------------------ Chart Pattern - Head & Shoulders It is a popular chart pattern used in technical analysis to identify potential trend reversals in financial markets. It is named after its visual resemblance to a head with two shoulders. This pattern typically occurs after an extended uptrend and signals a possible reversal to a downtrend. The Head & Shoulders pattern consists of three main components: Left shoulder: Forms as the price reaches a peak during the uptrend, followed by a temporary decline. Head: Subsequent rally with a higher peak compared to the left shoulder. Right shoulder: Another decline, usually lower than the head but similar in height to the left shoulder. The pattern is considered complete when the price breaks below the "neckline," which is a support level connecting the lows of the left shoulder, head, and right shoulder. The breakdown below the neckline acts as a confirmation of the pattern and suggests that selling pressure has become dominant. Here are the key characteristics and implications of a Head & Shoulders pattern: Reversal Signal: The Head & Shoulders pattern is a bearish reversal signal, indicating a potential shift from an uptrend to a downtrend. Traders and investors often interpret this pattern as a signal to sell or take short positions. Volume Confirmation: Volume analysis plays a crucial role in confirming the validity of the pattern. Generally, higher trading volume is observed during the formation of the left shoulder and the head, while the volume tends to decrease during the right shoulder. A noticeable increase in volume during the breakdown below the neckline adds credibility to the pattern. Price Target: The Head & Shoulders pattern provides a price target for the subsequent downtrend. To estimate the target, measure the vertical distance from the neckline to the top of the head and subtract it from the breakdown level. This projected distance is often considered as the potential downside target. Failure to Confirm: It is essential to note that not all Head & Shoulders patterns result in a significant trend reversal. Sometimes, the pattern may fail to confirm, and the price might continue its previous uptrend. Traders should always wait for confirmation through the breakdown below the neckline before taking any trading actions. In conclusion, the Head & Shoulders pattern is a widely recognized and studied chart pattern in technical analysis. Traders and investors utilize this pattern to identify potential trend reversals and make informed trading decisions. However, it is essential to combine this pattern with other technical indicators and analysis techniques to increase the probability of accurate predictions.
NSE:BANKNIFTY
by WaveTalks
3
Ethereum Giant Head and Sholders [Ethereum equals BTC in a dangerous head and sholder formation. Losing there in the region of $1,680 breaks the neckline. I put the measure move of the high leg of this head and holders, vertical line in red and it's coming to $1,240 and it seems exaggerated but that's it. Now we are looking for the $1.700 region and it won't be good to miss it. After that the more coherent target and the $1.390 and below it loses the bullish structure. Maximum attention is for the S&P500 that will dictate the next chapters.
Short
by Chemintrader
Nifty Analysis: May2023Let’s quickly start this analysis from June 22 lows. Weekly Chart There is a clear A-B-C type corrective pattern which tested into previous highs of Oct 2021. I was expecting some support build up near 18000 levels (for the trend to resume on the upside) in Dec 2022 but that did not happen, and the market just drifted lower and lower to previous support area around B. Currently it is again bouncing hard towards the prior swing high A. From this structure it seems market is in a mood to trap more buyers on the upside before losing strength for new lows below B (continuing a potential H&S). But is that really true? Let’s get down to the daily time frame (left chart) and find out. Daily Chart We can see a corrective LH-LL structure which is still intact as per my understanding. I won’t consider Feb 2023 lows as a lower low (because of poor thrust below Jan 2023 lows). This is why the Feb swing high (18135 or so) would remain a LH in the trend channel. Also visible in the chart is a sharp rally from Mar 2023 lows, an Inverted Head & Shoulder pattern and a break of its neckline above 17800 zone, good omen for the buyers. But remember that lower high is still intact. Looking at the price behavior of this rally, it is totally agreeable that there is a potential for shift in structure (for uptrend) with a close above 18135 this week. Now the question is that whether the higher timeframe weakness with an ABC corrective and a potential Head & Shoulder pattern would prevail over the strength on the lower timeframe chart? The answer is that its difficult to predict with 100% accuracy. But one thing that can be done confidently is to manage your trades properly. For short-term trading I would say that booking some profit (if bought near the lows) is definitely an option. Reaction from previous resistance areas is a time-tested behavior, so one can always trail and lock profits in case of doubt. For this trend to continue on the upside, any test of 17800 has to hold. A failure of this level may put this trend in jeopardy. Similar lines can be seen in Oct2021 to June2022 correction. So the conclusion is to book a little if you want and lock the rest with trail below 17800. Any new buying at this point would remain a question mark. Thanks for reading. Do hit the boost button for more ideas in future. Disclaimer: All the views above are personal only and not an investment or trading advice. So you will have to apply your due diligence.
NSE:NIFTY
by Bravetotrade
20
Pattern Identification by Considering Safety in Analysis!Pattern Identification on any Timeframe! Importance of the Factor of Safety in Projected Target To avoid the Losses! How to identify Patterns and Project the Target on the chart! I have selected NVDA weekly chart for Technical Analysis. Here the Head and Shoulder pattern formed on the Top. We can see the previous trend of NVDA was an Uptrend so the probability of high that trend will get reversed after the neckline breakdown and the price has given breakdown to the neckline and it went down. I have projected the downside target by projecting the head to neckline length below the neckline. But we all know that, the things which are given in a theory doesn't work 100% all the time. So to avoid the buffer between Theory and Practical I have projected the line parallel to the neckline from the projected taregt so we should exit our position without waiting for the Theoretical projected target. This is my personal view to exit from our existing position without waiting till the end. Most of the time what happens is price reversed before our projected target. That's the reason i am sahring this Educational Idea to achieve maximum profit by considering Factor of Safety or You can exit your trade by achieving 80% - 90% of your projected profit. If you like this Educational Idea then Comment Below! Thank you!
NASDAQ:NVDAEducation
by Avinash9087
3
PVR: HEAD AND SHOULDERAfter breaching the all time high of 2086 formed on Feb'2020, stock is correcting lower in a Complex-Corrective-Wave - WXY structure. Stock is already concluded its Wave-X at the high of 1925 and currently unfolding into Wave-Y of which wave-b is taking a formation of a Bearish Triangle . The measured target where Wave-W becomes equal to Wave-X is coming in the region of 1420. As per the conventional chart pattern stock is also forming a Head and shoulder pattern whose neckline is in the region of 1620-1590. A breakout below the neckline should add more credence to the pattern. The measured target for the pattern is coming in the region of 1200. Stock is also trading below its 200 EMA and currently facing a resistance on the upper boundary of the parallel channel drawn from the Aug'22 high of 2214 and connecting the Dec'22 high of 1925. Trading strategy: Sell 1655-1660 keeping SL of 1770 look for the downside targets of : Tgt1: 1440-1420 Tgt2: 1350 Tgt3: 1245
PShort
by TradingSutra
6