Friday, March 28, 2008

Head and Shoulders, Part Two










This is 15, I think, head and shoulders patterns posted this week. They are in various stages of completion. EWC in particular is very incomplete. The idea is to test the efficacy of the pattern itself so I provided a number of different examples in a real time setting. (One my wonder why there are so many head and shoulders patterns at this moment in time...)
The pattern itself should not be traded before completion and you should expect several of these examples to fail altogether (going higher not lower). I view these patterns as major trend changes. Price target is 20% below the neckline.
I will be trading a number of these names and we'll check back in with them down the road. These charts posted are all weekly graphs and will take some time to complete.

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