Watching for the pattern #2

22. Nov. 2021

Morning folks,

Last time we were watching for H&S on 1H chart that perfectly clarified situation to us. Now, market has completed next downside 4H target at 15.5K and is forming the same pattern but of a bit bigger scale. So, we once again intend to use it.

For the bulls - you have to make decision right now as price stands at the bottom of the right arm. You could place relatively tight stop, somewhere in the middle between the head bottom and right arm's lows. Because if market doesn't turn up here - it doesn't turn up at all and keep dropping to next support area.

For the bears - you could use Stop "Sell" order slightly above the Head's bottom. If H&S works - do nothing and wait when it hits the target, at least.

These setups are not mutually exclusive, so you could combine them if you want...