NIFTY H&S
Key Points:
Head and Shoulders Pattern: This is typically a bearish reversal pattern when it occurs at the top of an uptrend, suggesting that prices may continue to drop after breaking the neckline.
Neckline: The horizontal support level (in red) that has been broken or is at risk of being broken, which could confirm the downtrend.
Volume: It is often useful to confirm this pattern with a volume decrease during the formation of the Head and an increase during the breakdown.
Potential Action:
If the price breaks and closes below the neckline (the red support line), it could signal further downside, indicating a potential sell signal.
Traders may set a target by measuring the height from the neckline to the top of the head and projecting it downward from the breakdown point.
Head and Shoulders Pattern: This is typically a bearish reversal pattern when it occurs at the top of an uptrend, suggesting that prices may continue to drop after breaking the neckline.
Neckline: The horizontal support level (in red) that has been broken or is at risk of being broken, which could confirm the downtrend.
Volume: It is often useful to confirm this pattern with a volume decrease during the formation of the Head and an increase during the breakdown.
Potential Action:
If the price breaks and closes below the neckline (the red support line), it could signal further downside, indicating a potential sell signal.
Traders may set a target by measuring the height from the neckline to the top of the head and projecting it downward from the breakdown point.
PRO_VIVEKBHARNUKE
Declinazione di responsabilità
Le informazioni ed i contenuti pubblicati non costituiscono in alcun modo una sollecitazione ad investire o ad operare nei mercati finanziari. Non sono inoltre fornite o supportate da TradingView. Maggiori dettagli nelle Condizioni d'uso.