Head and Shoulders pattern - Breakdown or a run to 1300?
$XAUUSD was one of my winners last week with successful bearish harmonic pattern traded from 1260$ to 1230$.
Now a bearish Head and Shoulders was formed with a neck line that is also the bottom of a trading channel.
The price closed below the 50 SMA line and barely above the Fast SMA line.
1225$ - Key support zone
Bearish scenario - Breakdown and continuation towards 1200$ and 1180$
Bullish scenario - Neck line holds as support and $XAUUSD runs towards top of trading channel - 1300$
Tomer Jakov, The MarketZone (@themarketzone)
This analysis is part of the Weekly Markets Analysis newsletters
To read more interesting technical reviews for the week- goo.gl/Jfnwob
To subscribe to the newsletters - goo.gl/JfOLoR
Now a bearish Head and Shoulders was formed with a neck line that is also the bottom of a trading channel.
The price closed below the 50 SMA line and barely above the Fast SMA line.
1225$ - Key support zone
Bearish scenario - Breakdown and continuation towards 1200$ and 1180$
Bullish scenario - Neck line holds as support and $XAUUSD runs towards top of trading channel - 1300$
Tomer Jakov, The MarketZone (@themarketzone)
This analysis is part of the Weekly Markets Analysis newsletters
To read more interesting technical reviews for the week- goo.gl/Jfnwob
To subscribe to the newsletters - goo.gl/JfOLoR