Today the FED passed the stimulus package and it appears that the markets have reacted favorably to the news. However the subject is head and shoulders patterns and as a rule an inverted head and shoulders ( which is currently displayed on most daily charts) is bullish and if market condition are right will produce positive gains. The $SPX daily chart is showing resistance levels near 900 and may prove to be a reversal area. We will see.
Hey DSQ, I would like to hear your take on this H&S. Ive learned that H&S in a bear market are iffy. I admit I don't know much more than that about this particular set up than what Ive learned from watching vids on the recent market technicals from freetradingvideos.com. Give me something I can sink my teeth into. Why is this settup so controversial? You must have another take on it. Well, don't hold back. What is it? Travis
Futures are heading down closer to the daily pivot. I won't be holding anything over night in the Thai market.
Ok so how many aliases and how many accts do you have here?(des44,fantastic4,stockturdr3?)And nice plug for that website...you can get the book at amazon for 36$ super deal...i paid 60 in 1991 for mine...
Big viloent selloff, I think from the SONY news. The Nikkei doesn't seem to care too much though, so maybe some ES traders are just panicking. It's punish the thai market at this time, so I'm waiting for a good bounce. Futures did break the pivot, so I'm turning on my bear ears for tomorrow.
That's true that a head and shoulders pattern in certain market conditions can be iffy....however the pattern itself is reliable a majority of the time. So times the pattern will pull back to retest a prior low/high before preceeding in the direction of the established trend.
All profit targets at 858.00 are filled.....holding last 50% of position now for any additional downside move. A close tomorrow below the 856.00 level will indicate to me confirmation that Wednesday was an "inventory grab" within the context of the FED release......typical game, nothing new.
My TOS is down so I can get a EUR/YEN crossover chart, but I just watched a John Carter video that said it's at resistance, and if it can break over then he's looking at 920, that is if the Euro/Yen can break out over resistance.