Possible Reversal H&S Pattern In The Works For SPX & ES
Good evening or day fellow traders.
Could we be sitting in the cross roads of heaven & hell for the S&P 500?
Million dollar question yet to get answered by the market it's self.
Let's touch on a possibility then take it one day at a time from there.
I posted 2 charts, 1 SPX, 2 ES. First chart is SPX daily line chart, I have drawn a possible continued outline of what might come to passing in the future if they decide to build us a H&S pattern. From a possible neckline I have drawn out a arrow to which shows us a possible target to aim for if one decides to short after a break of the neckline area.
4497 area is a start.
Second chart is ES 2hr on Oanda platform. 20ma crosses under 50ma. Remember in my last post I mentioned the crossing over of the two? Well, it happened so now it's really starting to look bearish. If the smart money is distributing and we are getting a H&S as a result of it or a similar pattern without the right shoulder complete counts as well. Then we really need to begin the plan to take on a short position and scale in as the charts grow more and more bearish.
Careful as she goes here, we will be very very choppy during the construction and I wouldn't be jumping in a short with both feet as of yet. The neckline of a daily or 4hr H&S has yet to be built and broken.
Remember this for a bullish case; If the head or high of this pattern gets taken out on the daily it's a all out bull move. If that happens I will publish another post with a upside target if that plays out.
In the meantime please trade with caution and never risk more than 1% 2% of your total capital.
Could we be sitting in the cross roads of heaven & hell for the S&P 500?
Million dollar question yet to get answered by the market it's self.
Let's touch on a possibility then take it one day at a time from there.
I posted 2 charts, 1 SPX, 2 ES. First chart is SPX daily line chart, I have drawn a possible continued outline of what might come to passing in the future if they decide to build us a H&S pattern. From a possible neckline I have drawn out a arrow to which shows us a possible target to aim for if one decides to short after a break of the neckline area.
4497 area is a start.
Second chart is ES 2hr on Oanda platform. 20ma crosses under 50ma. Remember in my last post I mentioned the crossing over of the two? Well, it happened so now it's really starting to look bearish. If the smart money is distributing and we are getting a H&S as a result of it or a similar pattern without the right shoulder complete counts as well. Then we really need to begin the plan to take on a short position and scale in as the charts grow more and more bearish.
Careful as she goes here, we will be very very choppy during the construction and I wouldn't be jumping in a short with both feet as of yet. The neckline of a daily or 4hr H&S has yet to be built and broken.
Remember this for a bullish case; If the head or high of this pattern gets taken out on the daily it's a all out bull move. If that happens I will publish another post with a upside target if that plays out.
In the meantime please trade with caution and never risk more than 1% 2% of your total capital.