Are we assisting to a bearish Head and Shoulders?

24 Jul 2018

Taking into account the overall enthusiasm, the mass relief of finally exiting the year of the Bear, combined with the imminent ETF approval that is scheduled to be decided in August (but with some voices actually suggesting September as a final date and August just as a postponement) my view is that we in fact are assisting at an Head and Shoulders pattern forming under our very eyes, as a counter trend. Big players know that this is the perfect moment to liquidate the enthusiastic Longs.

I might be wrong, as I am just beginning to put thoughts on charts, but my opinion is that the higher the rise in this leg will be, the harder the subsequent fall. My projection being somewhere around the 3~4k USD.