ETH/USD - Potentially Head & Shoulders - trade the break down
Updated
Not confirmed yet, but it looks like there is a pretty high chance that the price will retrace from the current levels, which will indicate that an H&S pattern will be formed, which means the up-trend reversal.
As a result, it would be reasonable to open a short position on the break of the neckline. A 1-hour time filter (candle close) should be applied as a trigger for the trade. SL above the second shoulder and TP based on the Minimum Price Objective.
Support my analysis by giving LIKES and FOLLOWS. It helps the channel grow and motivates me to post free content.
As a result, it would be reasonable to open a short position on the break of the neckline. A 1-hour time filter (candle close) should be applied as a trigger for the trade. SL above the second shoulder and TP based on the Minimum Price Objective.
Support my analysis by giving LIKES and FOLLOWS. It helps the channel grow and motivates me to post free content.
Note
We finally got a break of the neckline, but from the long-tailed candle, it looks like it might be a bear trap. As a result, the short trade has not been opened yet. Now, I will be waiting for another break of the neckline with 2 consecutive candles close below it. Otherwise will cancel the trade set-up tomorrow.
Order cancelled
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