Inverted Head & Shoulders on 1 Day Chart Still Very Much In Play
We got very close to the original projected price target of the lavender wedges projected breakdown, but jut broke upward from the latest bear flag just before the new day candle started. What's a very encouraging sign is that we dropped to almost the exact same height as the left shoulder of this inverted head and shoulder pattern...always good for the validity of a h&s pattern when the shoulders are that symmetrical...not a necessity but usually when its that picturesque it gives the pattern much greater probability of playing out. For the price to turn around at that exact height increases my expectations of the inverted head and shoulder pattern triggering after all...so wise to keep a close eye on that. You'll recall in my laat idea titled two outcomes...one of the outcomes I saw was the price turning back upward to continue the right shoulder...the other outcome was that we would bounce off the bottom trendline of the pink symmetrical triangle we are in...that outcome is still in play too, and in fact both could happen...reaching the bottom trendline and bouncing up off it would not invalidate the inv h&s pattern....however it's much more encouraging pattern if it stays to the upside now based on the symmetry of everything. Wise to still be prepared for both outcomes though. I'm leaning more towards it going up from here but will keep this idea listed neutral since both outcomes are still in play. I also projected it reaching the neckline of the inv head and shoulder pattern around the 28th just because I'm fundamentally factoring in when the Futures contracts are set to expire on the 27th. Considering how that's still 15 days away that still gives us plenty of time to have another dip again before reaching the neckline so be prepared.
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