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Head and Shoulders

Day 2 AI Analyzing my trading ideasThe following chart is not very different from the first except I wanted to focus on a smaller timeframe initially I wanted to focus on the 4h timeframe but the big picture wouldn’t be as clear. I started off sending a picture of the 4h chart to AI and asking if it recognized any patterns, of which it mentioned 3 patterns a Head and shoulders, a rising wedge, and a symmetrical triangle. The rising wedge we talked about yesterday. So I decided to go for the head and shoulders (in this case an inverted HAS) after drawing the HAS on the chart myself I sent a new picture of it to AI and asked what it saw (the yellow price lines were added before posting to highlight the possible target AI suggested. Below is the description I got, keep in mind AI is not to be used as a trading tool by any means, but I like to play with the fact that it takes my emotions away from trading. Disclaimer again, I’m no professional and this is not trading advice. This is what AI said about my chart. Let’s break down the analysis again with this correct interpretation. ### Key Observations: 1. **Inverse Head and Shoulders Formation**: - The **left shoulder** forms around early June, the **head** dips lower in mid-July, and the **right shoulder** forms in September. - This pattern suggests that after a downtrend, there’s potential for a bullish reversal. 2. **Neckline**: - The **dotted green line** (around $65,000) appears to act as the **neckline** of the pattern. This is a key resistance level that, once broken, would confirm the bullish reversal. ### Possible Outcomes: - **Bullish Scenario**: - If the price breaks **above the neckline** (around $65,000), it would confirm the Inverse Head and Shoulders pattern, signaling a potential upward movement. - To estimate the potential target, measure the distance between the **head** and the **neckline**. The head dips to around **$50,000**, and the neckline is at **$65,000**, which gives a difference of **$15,000**. - Adding that difference to the breakout point at **$65,000** suggests a potential upward target of around **$80,000**. - **Bearish Scenario**: - If the price fails to break the neckline and instead reverses back down, the key support levels to watch would be the **right shoulder level**, which is around **$55,000**, and the **$50,000** level at the head. - A breakdown below these levels could invalidate the bullish reversal, leading to further downside pressure. ### Conclusion: The **Inverse Head and Shoulders** is a classic bullish reversal pattern. If the price breaks above the **$65,000 neckline**, we could see Bitcoin target **$80,000** based on the pattern's projected move. However, failure to break the neckline would mean the pattern is not yet confirmed, and we might see the price retest support around **$55,000** or **$50,000**.
INDEX:BTCUSDLong
by Kevinwastaken
LINK - Three White Soldiers Candlestick PatternIn the weekly timeframe, a bullish candlestick pattern has formed on Chainlink. The Three White Soldiers are characterized by three consecutive green candles. The higher the timeframe, the more powerful the pattern. We've recently observed an instance of the TWS pattern in the weekly, which was a precursor to a 136% increase: However, the unfilled wick around $8 remains a concern - but also a potential for buying in / accumulating at a lower price. _________________________ BINANCE:LINKUSDT
by CryptoCheck-
1
BITCOIN: This May Be Your Last Chance Before Exploding to UpsideAs you can see, BITCOIN has created an ascending head and shoulders and is also located in the Megaphone , which means that if it breaks, we expect the price to reach the top of the Megaphone. ✨We spend hours finding potential opportunities and writing useful ideas, we would be happy if you support us. Best regards CobraVanguard.💚 _ _ _ _ __ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ ✅Thank you, and for more ideas, hit ❤️Like❤️ and 🌟Follow🌟! ⚠️Things can change... The markets are always changing and even with all these signals, the market changes tend to be strong and fast!!
COINBASE:BTCUSDLong
by CobraVanguard
2
SUPER is Bullish now & many Traders don't see it !!As you can see, the price was able to break both the neckline and the wedge line at the same time, which means that the price can rise as shown in the chart. ✨Traders, if you liked this idea or have your opinion on it, write in the comments, We will be glad. _ _ _ _ __ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ ✅Thank you, and for more ideas, hit ❤️Like❤️ and 🌟Follow🌟! ⚠️Things can change... The markets are always changing and even with all these signals, the market changes tend to be strong and fast!!
Long
by CobraVanguard
4
7733 - 4 months HEAD & SHOULDERS══════════════════════════════ Since 2014, my markets approach is to spot trading opportunities based solely on the development of CLASSICAL CHART PATTERNS 🤝Let’s learn and grow together 🤝 ══════════════════════════════ Hello Traders ✌ After a careful consideration I came to the conclusion that: - it is crucial to be quick in alerting you with all the opportunities I spot and often I don't post a good pattern because I don't have the opportunity to write down a proper didactical comment; - since my parameters to identify a Classical Pattern and its scenario are very well defined, many of my comments were and would be redundant; - the information that I think is important is very simple and can easily be understood just by looking at charts; For these reasons and hoping to give you a better help, I decided to write comments only when something very specific or interesting shows up, otherwise all the information is shown on the chart. Thank you all for your support 🔎🔎🔎 ALWAYS REMEMBER "A pattern IS NOT a Pattern until the breakout is completed. Before that moment it is just a bunch of colorful candlesticks on a chart of your watchlist" ═════════════════════════════ ⚠ DISCLAIMER ⚠ Breakout Area, Target, Levels, each line drawn on this chart and any other content represent just The Art Of Charting’s personal opinion and it is posted purely for educational purposes. Therefore it must not be taken as a direct or indirect investing recommendations or advices. Entry Point, Initial Stop Loss and Targets depend on your personal and unique Trading Plan Tactics and Money Management rules, Any action taken upon these information is at your own risk. ═════════════════════════════
TSE:7733Long
by TheArtOfCharting
CAC40 - 4 months HEAD & SHOULDERS══════════════════════════════ Since 2014, my markets approach is to spot trading opportunities based solely on the development of CLASSICAL CHART PATTERNS 🤝Let’s learn and grow together 🤝 ══════════════════════════════ Hello Traders ✌ After a careful consideration I came to the conclusion that: - it is crucial to be quick in alerting you with all the opportunities I spot and often I don't post a good pattern because I don't have the opportunity to write down a proper didactical comment; - since my parameters to identify a Classical Pattern and its scenario are very well defined, many of my comments were and would be redundant; - the information that I think is important is very simple and can easily be understood just by looking at charts; For these reasons and hoping to give you a better help, I decided to write comments only when something very specific or interesting shows up, otherwise all the information is shown on the chart. Thank you all for your support 🔎🔎🔎 ALWAYS REMEMBER "A pattern IS NOT a Pattern until the breakout is completed. Before that moment it is just a bunch of colorful candlesticks on a chart of your watchlist" ═════════════════════════════ ⚠ DISCLAIMER ⚠ Breakout Area, Target, Levels, each line drawn on this chart and any other content represent just The Art Of Charting’s personal opinion and it is posted purely for educational purposes. Therefore it must not be taken as a direct or indirect investing recommendations or advices. Entry Point, Initial Stop Loss and Targets depend on your personal and unique Trading Plan Tactics and Money Management rules, Any action taken upon these information is at your own risk. ═════════════════════════════
TVC:CAC40Long
by TheArtOfCharting
Tesla on the Way to new all time High ............ (!)NASDAQ:TSLA Tesla bounced of 200 at upper line of Blue Megaphone pattern und ist now in the most important Elliott Wave: (3) of iii of 3 - THE MOST IMPORTAMT WAVE NOW - Almost nothing can stop now Tesla from Doing a NEW ALLTIME HIGH later ...! Especially when we go above green line, which is NECKLINE of INVERSE HEAD&SHOULDER ...... which points to 25% HIGHER THAN OLD ALL TIME HIGH! When I look at all this, I must assume that coming Robotaxi Event in LA at 10/10/24 will bring a lot of news, which gives Tesla another boooooooost higher !???!
NASDAQ:TSLALong
by Rolixc
Quant price action currently above inverse h&s necklinePrice action is currently above the inverse head and shoulder neckline and has closed a couple candles above it on the daily timeframe. Often times price action will dip back below the neckline after this initial break above it so that is certainly possible here, however if it does validate the breakout without first dipping back below the neckline again here, I have placed the emasured move target price at the top of this dotted pink line. *not financial advice*
COINBASE:QNTUSD
by DrDovetail
GOLD --- When Breakout? $2700 Target remains in place. The war against sound money... keeping a "lid" on the price of the worlds biggest asset and truly the only real collateral in the world. Is being slowly lost. We have a continuation head and shoulders that many people are watching. But something to note Is that the previous times #Gold has traded above 2 thousand dollars The smackdown has been quick and violent. If you noice in the past few weeks, the compression of price , and the consecutive number of weekly closes above 2k. Is the most it has ever been. Are the Bankers ready to let it run... since they seem to be pumping up all assets prices for the 2024 election. I think the ramp up to 2.7k could be quite violent... do we get there by summer?
COMEX:GC1!Long
by BallaJi