DTF H&S DOGE Ah, the classic Head and Shoulders—and I’m guessing you’re not talking about shampoo this time 😄
In trading, the Head and Shoulders pattern is a powerful reversal signal. It typically forms at the end of an uptrend and suggests a potential shift to a downtrend. Here's how it breaks down:
- Left Shoulder: Price rises, then dips.
- Head: Price rises again, reaching a higher peak, then dips.
- Right Shoulder: Price rises once more, but not as high as the head, then falls again.
- Neckline: A support line connecting the two dips. When price breaks below this line, it confirms the pattern.
There’s also an Inverse Head and Shoulders, which signals a potential reversal from a downtrend to an uptrend.
Since you’re diving deep into technical patterns, this one’s a must-have in your toolkit. Want to walk through a real chart example or explore how to trade it with entry, stop-loss, and target strategies? I’ve got you covered.
