๐ ๐๐จ๐จ๐๐ฃ๐ฉ๐๐๐ก ๐พ๐๐๐ง๐ฉ ๐๐๐ฉ๐ฉ๐๐ง๐ฃ ๐๐ซ๐๐ง๐ฎ ๐๐ง๐๐๐๐ง ๐๐๐ค๐ช๐ก๐ ๐๐ฃ๐ค๐ฌ
๐ง ๐๐๐๐ ๐๐ฃ๐ ๐๐๐ค๐ช๐ก๐๐๐ง๐ ๐๐๐ฉ๐ฉ๐๐ง๐ฃ - ๐๐๐ ๐๐๐ฃ๐ ๐ค๐ ๐๐๐ซ๐๐ง๐จ๐๐ก๐จ ๐
Type: Bearish Reversal
๐ฅ Traders call this the most reliable trend-reversal signal โ and for good reason. If you can spot this, youโre ahead of 90% of the market.
๐ What It Looks Like:
Imagine three mountain peaks:
The left shoulder forms after a rise and a slight dip.
The head is the highest peak โ a stronger push upwards.
The right shoulder forms with a lower high.
All this happens along a support line known as the neckline.
When price breaks below the neckline, itโs often game over for the uptrend.
๐ Why It Works:
It shows buyers are losing strength with each push.
Volume often decreases with each peak โ a sign of fading momentum.
The final break below the neckline confirms a bearish shift.
๐ What It Signals:
โก๏ธ A trend reversal from bullish to bearish.
โก๏ธ Great for spotting short opportunities or closing long positions early.
โก๏ธ Powerful on longer timeframes (4H, Daily, Weekly) โ the bigger the timeframe, the stronger the signal.
๐ฐ Pro Tip for Traders:
๐ Combine this with volume analysis and RSI divergence.
๐ The more symmetrical the shoulders, the more reliable the pattern.
๐ Use the height from head to neckline to estimate the price drop after the breakout.
