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Big Diamond Pattern Atop Carnival Cruise CorpBig Diamond Pattern Atop Carnival Cruise Corp When forecasting you have to take a lot of information into consideration, you have to also find the needed information to make a forecast. What we know in the short term, Carnival Corp CCL, average analyst stock price estimates post Q2 earnings - June 28 - was $60.50 and high estimate for 2016 of $80. Brexit aftermath has slowed stock momentum and was in an industry that was hardest hit other than global banks. If Carnival does infact beat estimates, which it has solidly for nearly two years straight, we could be in a big surprise to the upside. Long term, estimates for all corporate earnings are extremely overpriced. 2017 is expected to price nearly a 20% rise in earnings for the S&P 500. With the Federal Reserve and rating agencies ready to revise these numbers early next year, along with analyst revisions, this could be a disaster for US stocks in 2017. Diamond Pattern We can't always assume which direction the diamond pattern will follow, but we do know that massive volatility will shoot out of the pattern once a diamond pattern is completed. Studies have shown Diamond Patterns are the best patterns to forecast future volatility. Diamond Patterns shape have also proven to slightly improve long term forecast, but not always short term forecast. Short term direction after the patterns has completed, may not always be the ultimate direction the pattern wants to go. Often Diamonds shoot out fast head fakes in the short term, while the direction of the diamond has been pointing to a direction opposite of the head fake. So traders need to take into consideration short term vs long term, when studying the diamonds direction (red arrows on chart point to downward momentum).
NYSE:CCLLong
by QuantitativeExhaustion
EURGBP potential powerful head and shoulders top...Risk Disclaimer: The content published by this account is for demonstration purposes only and should never be considered financial advice. While speculative in nature before official news on Brexit - from a technical standpoint the EURGBP has been developing a potential powerful head and shoulders pattern on the larger time frames. The psychological barrier of .7900 sits near the neckline and has currently seen some solid price retracements from that zone. This idea is most likely invalidated if price breaks, and holds, above .7950 after any potential Brexit volatility.
Short
by fuse-forex
GBPCAD: Head and Shoulders PatternHey gang! Found a good Head and Shoulders Pattern right here on the GBPCAD! Head Resistance: 1.93000 Neckline Support: 1.90000 Profit target: 1.87000 Its a 300 pips profit! This is my strategy for trading Head and Shoulder Patterns. Take it with a pinch of salt! If you have any recommendations on how I can improve, please do comment here! :) When to enter: AFTER it breaks through neckline, it should retest the 1.90000 Resistance level again. My entry: 66% of my position will be in 1st Position 34% of my position will in 2nd Position My exit: SL at 1.90600 (60 pips) 1st TP: 50% of the pattern (150 pips) at 1.88500 2nd TP 90% of the pattern (270 pips) at 1.87300 What I learned from H&S so far: If the right shoulder is shorter than the left shoulder, the pattern is stronger If the right shoulder extends further than the left shoulder does, the pattern is stronger H&S Patterns have a 75% - 80% chance of succeeding (assuming it breaks through neckline) Good luck guys! May the pips be with you!
Short
by GenesisCTY
GBPAUD: H&S REVERSAL CONFIRMEDHi Traders, We have a lovely Head & Shoulders (H&S) reversal pattern here on GBPAUD. If you are looking for a short entry, see the chart above for a potential setup. The head and shoulders reversal is now complete with the break and close below neckline support. A pullback into that previous support level will give bears a solid opportunity to add to positions or re-enter short. IF we can stay below 2.0300, THEN I am expecting follow through to the downside to test 2.00 even handle. Good trading, Luke
Short
by Beebags
EURGBP: Pullback Right into the TrendHey guys! After EURGBP broke through last week or so with an absolutely beautiful Complex Head and Shoulder's Pattern, I spotted that the profit target for the H&S Pattern would actually pierce through the 0.74850 Major Resistance Level! (Pink line). Weekly also show a sharp downtrend, with the H&S Pattern head directly touching the 61.8 Fib level What influenced my decision: -General trend for Weekly is very bearish -Prices just retraced and reversed to the 61.8 Fib Level on Weekly -Profit target for H&S Pattern shows it would pierce through Hmm, for now, I'm staying bearish! If so, I'll probably wait for a retracement back to the level before selling! Maybe someone can shed some light on whether 0.74850 would hold? :) Complex Head and Shoulder's Pattern: thepatternsite.com Good luck guys! May the pips be with you!
Short
by GenesisCTY
AUDNZD INVERSE HEAD AND SHOULDERS WEEKLYAs you can see from the chart above, AUDNZD has made a habit of moving in major bull and bear cycles, each one lasting anywhere from three to five years. We just happen to be coming off a four-year decline and forming a possible inverse head and shoulders pattern in the process. Since November of last year, the Aussie cross has continued to bottom and is now trading less than 200 pips below the pattern’s neckline (shown below). What stands out about this particular structure is how skewed the risk/reward scale is at the moment. The measured objective is a massive 1,300 pips from the neckline, giving us plenty of upside to work with while limiting downside risk via the well-defined neckline. Should AUDNZD confirm the pattern with a weekly close above the level shown below, we could be looking at a multi-month rally toward the 1.2780 handle.
Long
by Stefan17