- Entry
- 1.4749
- Stop
- 1.5269
- TP1
- 1.3979
- TP3
- 1.2689
Head and Shoulders Pattern
The Head and Shoulders formation reflects distribution by institutional participants at swing highs. Breakdown below the neckline triggers aggressive downward continuation.
Identification Rules & Structural Requirements
Checklist required before validating this formation.
- 1.Left shoulder forms at the end of a strong bull rally.
- 2.Head pushes to a higher high on diminishing buying momentum.
- 3.Right shoulder forms a lower high, showing exhaustion from bulls.
- 4.Neckline connects the reaction lows between the three peaks.
A breakout and candle close above the right shoulder high.
Trade this setup with mathematical R:R
A chart pattern only provides positive expectancy when your reward targets exceed your risk boundaries. Always compute your position size and breakeven win rate before executing.
Active & Graded Calls Demonstrating Head and Shoulders Pattern
Empirical evidence from TradeLiveX's public prediction ledger.
- Entry
- 7.48
- Stop
- 7.21
- TP1
- 7.86
- TP2
- 8.12
- Entry
- 0.08777
- Stop
- 0.08510
- TP1
- 0.09180
- TP3
- 0.09790
entry 0.08777, sl 0.0851, t1 0.0918**. breakout at today's highs, key resistance flipped support. inscritive volume and rsi(59.7) breach confirming trend shift. target 0.0918, stop below range low at 0.0851 invalidates.
- Entry
- 766.28
- Stop
- 792.77
- TP1
- 726.57
- Conviction
- high
Short $BNB at 766.29, stop 792.77. Target 1: 726.57. Breaking 6-hour compression range, today's price level resonant with 200-EMA & volume expansion. RSI(50.5) flirting with 50, confirming structural shift. If 792.77 fails, respecting momentum's invalidation before seeking 726.57