There are several components in pre-qualifiying a Head & Shoulders pattern and right now the Dow Jones Industrial Average checks off all the boxes. First, the pattern itself cannot be larger than the previous move...check! Second, the pattern should have relatively proportionate shoulders and a relatively flat neckline....check!
Now that this bearish pattern has the qualifying parts, now to confirm the DJIA needs to maintain resistance near the right shoulder's peak then directly cleanly take-out the neckline.
Now that this bearish pattern has the qualifying parts, now to confirm the DJIA needs to maintain resistance near the right shoulder's peak then directly cleanly take-out the neckline.