Hi@Tanotfa
Always nice to see your posts. Good catch on the Outside Day bar, it would have turned out to be a great entry.
Entering trades while patterns are still information and yet to be validated can be very profitable when they work out.
The downside is the challenge with clear stop-loss levels and a higher failure rate when the patterns do not come to
fruition. Extra tough in the case of H&S (especially of the complex variety) as although the ideal H&S will form the
right shoulder at the same approximate level of the left one, this is very often not the case in actuality...
That is why I mostly refrain from them as a primarily breakout-focused trader unless I have a smaller pattern within
the larger one that is forming.
A retest of the Neckline is always a possibility and a chance for second/late entry as you say, but I am much more hesitant
to trade a retest when the trade has already made it 50% to the target before the "pull-back". The best trades often do not
pull back at all. I find often enough that is true even after a sustained rise till the breakout point which can be counter-intuitive
and make the entry psychologically challenging.
My knowledge of Pitchfork use is rusty at best, has been a long time since I played around with them in the earlier years
and Classical Charting has taken the forefront for me. Also struggled a bit to see exactly what Fib levels and number you
are using but the picture is clear enough and always good to see other styles of analysis coinciding...
A simple Fib trend extension (which I occasionally use but mostly when pattern targets have been surpassed) confirms
the 1.59 level to me, but that is no surprise as in the case of a good H&S Continuation after a run-up that will almost
always be the case. Possible weekly Channel also coincides with that rough area.
Regarding, the other stock you mentioned, I am thankfully in for quite a while now on what has turned out to be a longer duration
position trade/investment and liking the fundamentals too. Happy to see how that unfolds...
All the best,
YLJ
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Change
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Open | High | Low | Value | Volume |
$2.35 | $2.37 | $2.29 | $12.03M | 5.196M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
2 | 75227 | $2.29 |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
$2.32 | 84040 | 2 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
2 | 75227 | 2.290 |
4 | 49388 | 2.280 |
5 | 35189 | 2.270 |
4 | 223120 | 2.250 |
1 | 10000 | 2.230 |
Price($) | Vol. | No. |
---|---|---|
2.320 | 84040 | 2 |
2.330 | 45768 | 4 |
2.340 | 21816 | 1 |
2.350 | 853 | 1 |
2.360 | 10849 | 2 |
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