igued her because a trendline drawn from the highest high in early October to just after the head marked a turning point. That iswhere prices moved up enough to pierce the trendline.Melody knew that prices usually retest the low before beginning anextended move upward, so she followed the stock and watched it loop aroundand dip to 14. Then she glanced sideways and noticed the other dip at 143/s.That is when she uncovered the head-and-shoulders bottom.A neckline connecting the rises between the two shoulders was impossibly steep; there was no way she could apply the traditional measure rule todetermine a target price, so she decided to buy into the stock when pricesclosed above the right shoulder high.This occurred in late May and she received a fill at 17'/2. Taking a closerlook at the graph, she saw two more shoulders, one during early February and
Sample Trade
289
the mirror image in mid-May, both at 16. Her simple head-and-shoulders bottom changed into the complex variety.The realization did not affect her investment plans at all, but it made thesituation more interesting. She wondered if another pair of shoulders wouldappear. Her suspicions were fulfilled during late July when another shoulderdeveloped. This one at 153/4 mirrored the shoulder in mid-December 1993.Soon, prices began moving up. They climbed above the break-even point inmid-August and staged an upside breakout. Now she was able to apply themeasure rule for the complex bottom and found the target was 22'/s.Since she did not need the money immediately, she held onto the sharesas prices rose. She thought the stock had enough upward momentum to reachdie old high at about 29'/4, and she set her sights on that. As long as prices didnot drop below the purchase price, she would stay in the trade.She saw the stock building a base between 21 and 26 and wondered whatto make of it. A downside breakout was a real possibility, so she raised her stopto 21—the height of the plateau in October—and at a price just below wheredie base seemed to be building.In mid-June, just over a year after she placed the trade, prices zoomed upand reached her sell point. The stock sold at 29. The stock continued climbing, but she needed the money for a down payment on a house.I was so engrossed with her story and the way she told it that I did notrealize she had dismounted from her bicycle. She spoke of coming back to herplace and making some new chart patterns, then playfully thrust her hips intomine.I fell off my bicycle.
Tour
20Head-and-Shoulders Tops
291
more money if you own a stock and decide to sell or place a short sale sooner,garnering larger profits. Head-and-shoulders tops' popularity also stems fromtheir recognizability. The characteristic three bumps with the higher centerbump make the formation easy to spot.Two surprising findings are that the slope of the neckline and a lowerright shoulder predict a more drastic price decline after the chart pattern.Unfortunately, the results are not statistically significant, meaning that theymay (or may not) be due to chance. They are still interesting nonetheless, andthe Statistics section describes the findings in detail.
Tour
RESULTS SNAPSHOTAppearance
Three-bump formation with center bump taller thanthe others
Reversal or consolidation
Short-term (up to 3 months) bearish reversal
Failure rate
7%
Average decline
23%, with most likely decline being 15%
Volume trend
Slopes downward with highest volume on leftshoulder, followed by head and right shoulder,respectively.
Fullbacks
45%
Percentage meetingpredicted price target
63%
Surprising findings
A down-sloping neckline or a lower right shoulder(versus left shoulder) predicts a larger decline, butresults are not statistically significant.
See also
Head-and-Shoulders Tops, Complex
Of all the formations in this book, die head-and-shoulders top is perhaps themost popular. This sterns, in part, from its reliability. With 93% of the formations breaking out downward and continuing to move down, there is no needto wait for a breakout before trading. In that regard, you can save yourself
290
Figure 20.1 shows a good example of a head-and-shoulders top. The threebumps are clearly visible with the center bump being the highest of the three.The left shoulder usually appears after an extended uphill run. The entire formation seems to stand alone when viewed in the context of a year's worth ofdaily price data. This stand-alone characteristic makes the head-and-shoulderstop easily identified in a price series.Figure 20.1 shows the highest volume occurring during the head. Moreoften the left shoulder will have the highest volume, followed by the head, withgreatly diminished volume during formation of the right shoulder. The iden-
Great Atlantic and Pacific (Grocery, NYSE, GAP)
Head
Mar 93
Apr
May
Jun
Aug
Sep
Figure 20.1 A head-and-shoulders top formation where the center peak towersabove the other two. A pullback to the neckline occurs in almost half the formations.
292
Head-and-Shoulders Tops
tification guidelines are flexible because volume characteristics vary from formation to formation.A trendline drawn along the bottoms of the two troughs between thethree peaks forms the neckline. The line may slope in any direction but slopesupward about 52% of the time and downward 43% of the time with theremainder being horizontal. The direction of neckline slope is a predictor ofthe severity of the price decline. We see in the Statistics section that the neckline slope and die shoulder height are both related to the ultimate pricedecline.Why do these formations form? Pretend for a moment that you are a bigspender and represent what is commonly called the smart money. You aresearching for a stock to buy and believe that Toll Brothers (Figure 20.2) represents an intriguing situation. You review the fundamentals and everythinglooks good, so you start buying the stock in mid-July as prices descend. Yourbuying turns the situation around: The stock begins rising.Soon you have acquired all the stock you want and sit back and wait. Asyou expected, the company issues good news and the stock begins making itsmove. Other investors jump into the game and buy the stock, sending the pricehigher. As the stock rises above 10, you decide it is time to sell. After all, youhave made 20% in about 2 weeks. Your selling causes the stock to pause thenbegin a retrace of the prior action.Sensing weakness in the stock, you stop your selling and monitor the situation closely. Other momentum and buy-the-dip players, believing that this
is a chance to get in on the ground floor ofthe retrace. The decline halts and the stock
As it rises, other momentum playersoutright. Once the stock gets above 10, yo
at first because you have a large number oplayers notice your selling and the stock clback down.You dump your remaining shares as
rises as other players sell their shares to utinues moving down and slides back belowdemand picks up and sends the price moviYou watch the action from the sidelinmade. The stock climbs to 103/4 on the ri
rise falters on weak volume and the stock tnical analysis see the head-and-shouldersquietly take their profits and sell the stock
ing high and hoping the price falls.
Prices move down to the support level
The stock pauses at the support level for arise again. When the attempt falters, theneckline. Volume picks up and the stock tback to where they began, just under 8.In essence, the formation is a symbol
as prices rise. Eventually the selling pressurtumbling.
Identification Guidelines
Are there certain guidelines that make ide
easy? Yes, and Table 20.1 lists them. Thethat, guidelines. The head-and-shoulders t
variety of shapes. Consider Figure 20.3. Sformation, but there are four shoulders and
appears with more than the standard two sh
complex head-and-shoulders pattern. Comfor both tops and bottoms have their ownchapter's statistics. They are, after all, headThe head-and-shoulders top formatiolong uptrend. Sometimes, when the prior
reversal takes prices down to where they staFigure 20.2 Volume pattern of this head-and-shoulders top obeys the generalcharacteristics: highest on formation of the left shoulder and weakest on the rightshoulder. The down-sloping neckline suggests an especially weak situation.
other times, the decline is usually short (up
6 months), or can signal a change in thelength of the decline cannot be predicted.
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Head-and-Shoulders Tops
StatisticsTable 20.1
Identification Characteristics of Head-and-Shoulders TopsCharacteristic
Discussion
Shape
After an upward price trend, the formation appears as threebumps, the center one is the tallest, resembling a bust.
Symmetry
The two shoulders appear at about the same price level.Distance from the shoulders to the head is approximately thesame. There can be wide variation in the formation'sappearance, but symmetry is usually a good clue to theveracity of the formation.
Volume
Highest on the left shoulder, followed by the head. The rightshoulder shows the lowest volume of the three peaks.
Neckline
Connects the lows of the two troughs between the threepeaks. The line can slope up or down. Often used as atrigger point (to buy or sell) once prices pierce the line.
Downside breakout
Once prices pierce the neckline, they may pull back briefly,then continue moving down.
Even though the formation shown in Figure 20.3 is somewhat odd, itdoes have a symmetrical appearance. The two left shoulders are at about thesame price level as the corresponding two right shoulders. Each of the shoulders is approximately the same distance from the other and from its mirroropposite. In the chart pattern, the head is centrally located. The symmetricalappearance of a head-and-shoulders top formation is one of its key ideiitificaToys R Us (Retail (Special Lines), NYSE, TOY)
295
tion characteristics and helps separate any three bumps from a valid head-andshoulders chart pattern.Volume obeys the general characteristic: It is higher on the left shoulderthan on the head and higher on the head than on the right shoulder. If youconsider just the three inner peaks in Figure 20.3, the volume pattern changessomewhat since the left shoulder has volume diminished from that shown during the head. Even so, the volume on the left shoulder is still above the rightshoulder.The neckline, as shown in Figure 20.3, connects the two troughs betweenthe three inner peaks. It slopes upward but need not do so (contrast with Figure 20.2). The neckline serves as a confirmation point. Once prices pierce theneckline, and assuming they do not pullback, prices continue moving downin earnest.A pullback to the neckline occurs almost half the time. It usually takes lessthan 2 weeks to complete a pullback, but do not be fooled. The trend will resume downward shortly. However, a pullback does allow you one more opportunity to exit a long position or institute a short trade. Take advantage of it.
Focus on FailuresFailures of head-and-shoulders formations are rare, but they do occur. Figure20.4 shows an example of a failure. The well-formed formation has a head centrally located between two shoulders. The left and right shoulders are at thesame price level, 291/g. Volume is highest on the left shoulder and lowest on theright, as you would expect.Why do prices fail to pierce the neckline at point A and head down? Theanswer is not clear. The formation is perfect except that it fails to descend. Itacts as a consolidation or continuation of the upward trend. Not shown in thefigure, the prior two formations were descending triangles. These formationsusually break out downward but these did not. Both had upside breakouts andboth signaled a bullish uptrend. The two formations were clues to the strength ofthe rise, but one could also argue that the appearance of a head-and-shouldersformation would probably signal an end to the extended rise. It did not.If there is a good side to this failure, it is that failures do not occur veryoften. Only 6% of the formations (25 out of 431) I looked at consolidate as theformation in Figure 20.4.
StatisticsFigure 20.3 A complex head-and-shoulders top pattern. The chart shows thewide variation that a head-and-shoulders formation can take.
Table 20.2 shows general statistics for the head-and-shoulders top formation.The head-and-shoulders top pattern is a plentiful one, occurring 431 timesover the study period. In almost every occurrence it acts as a bearish reversal of
Hughes Supply Inc. (Retail Building Supply, NY5E, HUG)
Statistics
297
the uptrend. Only 30 formations (7%) fail to continue moving down by morethan 5% or break out upward. That statistic means that prices usually declineafter a valid formation occurs and suggests that you need not wait for confirmation of a downside breakout. A discussion of this trading tactic follows in theTrading Tactics section.Once prices pierce the neckline, they continue moving down another23%, on average. However, a frequency distribution of declines suggests themost likely decline is less, about 15%. Figure 20.5 shows the relationship. Thebell-shaped appearance of the chart is reassuring. I consider the tallest columnthe most likely decline because it has the highest frequency (the highest numberof formations in that decline range).I discuss the measure rule in the Trading Tactics section, but suffice it tosay that the rule measures the height from the head to the neckline and sub-
tracts the result from the point where prices pierce the neckline. Prices meetthe target only 63 % of the time. I consider values above 80% to be acceptable,Figure 20.4 A rare head-and-shoulders consolidation. The formation fails to continue down after reaching point A. Symmetry and volume patterns offer no clue tothe eventual failure.
so this method comes up a bit short.
On average, the formation is 2 months long (62 days), as measuredbetween the left and right shoulder peaks. Of course, this understates the actuallength of the formation since prices need time to rise up to the left shoulder
and decline to the neckline. If you add the drop from the right shoulder to theTable 20.2General Statistics for Head-and-Shoulders TopsDescription
Statistic
Number of formations in 500 stocks from
1991 to 1996
431
Reversal or consolidation
25 consolidations, 406 reversals
Failure rate
30 or 7%
Average decline of successful formations
23%
Most likely declineOf those succeeding, number meeting orexceeding price target (measure rule)
15% to 20%
254 or 63%
Average formation length
2 months (62 days)
Average performance of lower right shoulderversus performance of lower left shoulder
24% versus 22%, but result isnot statistically significant
Average performance of formations withdown-sloping necklines versus up-sloping necklines
23% versus 22%, but result isnot statistically significant
Note: With a 7% failure rate, you need not wait for the breakout before placing a trade.
296
Figure 20.5 A frequency distribution of declines for successful downside breakouts in head-and-shoulders tops. The graph suggests the most likely decline isabout 15%, below the average decline of 23%.
298
Head-and-Shoulders Tops
breakout point (that is, the neckline), then the average length rises to 79 days.I did not measure the time it takes prices to rise to the left shoulder peak.Some analysts have suggested that the shoulder height implies a strong orweak technical situation. By that I mean if the left shoulder peak is higher thanthe right one, then prices are more likely to decline farther than if the heightsare reversed. Although I found this to be true, with a lower right shoulder
decline of 24% and a 22% decline for formations with a lower left shoulder,the difference is not statistically significant. By that I mean the result could bedue to chance, or it could mean that there is indeed some validity to the notion.
I examined the relationship between the two shoulder prices. Do shortright shoulders mean a larger decline? I used a minimum price difference
between the two shoulders of 5%. Although the performance results (34%average decline versus 19%) are significant, the sample size is not (I found only
II or 12 samples out of 431 because identification depends on the shouldersbeing near in price to each other). Using a 4% price difference brings theresults down to 25% and 22% and increases the sample size to 35. However,die results are nearly the same as that achieved without any qualifiers (thoseshown in the table). If you can make a blanket statement about this behavior,
Table 20.3Breakout Statistics for Head-aDescriptionUpside breakoutDownside breakoutDownside breakout but failurePullbacksAverage time to pullback completionFor successful formations, days to ultimate low
Percentage of breakouts occurring near the 12-monlow (L), center (C), or high (H)
Percentage loss for each 12-month lookback period
Note: Almost all the head-and-shoulders tops brealow in about 3 months.
it might be that larger price differentials between the two shoulder prices
A frequency distribution of the days to
results in different performance. Significantly lower right shoulders suggests a
die short-term implication of a head-and-sh
more substantial decline.In a similar manner, some analysts have said that a down-sloping trendline shows a weaker technical situation than an up-sloping one. This is alsotrue, with losses averaging 23% versus 22%, but again, the difference is notstatistically significant. Since so many have suggested that these relationships
formations (265 or 66%) are short term, witdiate term, and 53 taking more than 6 montIf you consider where the formations
do exist and the statistics do not contradict that notion, then it is more likelyto be a reliable indicator of pending price action.Table 20.3 shows statistics related to breakouts. The vast majority (98%)of breakouts are downward, whereas only 9 formations move upward. How-
ever, there are 21 formations with downside breakouts that fail to move downby more than 5%. Even so, this only represents 5% of the formations withdownside breakouts. The statistics suggest that a head-and-shoulders formation will not only break out downward, but that prices will continue moving
down as well.There are a large number of pullbacks, at 191 or 45%. Fullbacks are whenprices drop below the neckline then return to it. Figures 20.1 and 20.3 showexamples of pullbacks. On average, it takes slightly less than 2 weeks for the
pullbacks to return to the neckline.Once prices break out downward, it takes 3 months on average to reachthe ultimate low. This seems to be a typical decline rate for bearish formations.
Of course, sometimes the formations indicate a longer term trend change, butyou will usually find that prices reach the ultimate low within 3 to 6 months
(short- to intermediate-term trading implications).
price range, then you can get a feel for wheshoulders patterns occur. First, I exclude ayear from the start of die study. Then die y
tliirds for each formation. Every formation
depending on die price at die breakout. The(49%) break out near die yearly high, suggesttops appear at die end of an uptrend.Do formations that have a breakout ne(that is, decline further) dian diose breakingperformance percentages distribute evenly
are likely to decline about 22% after a breakin die yearly price range. In other bearish fbest performing chart patterns occur near diTable 20.4 shows volume statistics. As II made no assumptions about die volume pastatistics using linear regression shows ther
out of three formations (62%) have recedin
trend is clear in many of die charts that accoWhen you look at the volume patternthat high volume usually accompanies creatio
300
Head-and-Shoulders Tops
Table 20.5Trading Tactics for Head-and
Table 20.4Volume Statistics for Head-and-Shoulders TopsDescription
Statistic
Number of successful formations showingdownward volume trend
247 or 62%
Volume highest on which bump?
Left shoulder, 49%
Second highest volume on which bump?
Head, 51%
Volume lowest on which bump?
Right shoulder, 74%
Volume for breakout day and next 5 dayscompared with day before breakout
159%, 146%, 111 %, 99%, 99%, 98%
Note: Volume is highest on the left shoulder and weakest on the right shoulder.
is higher than that shown during the other two bumps. Formation of the rightshoulder usually shows the lowest volume. Volume at the head falls between theother two bumps—it is usually lower than the left shoulder but higher than theright one.
To make the volume assessments, I looked at each formation and logged
Trading Tactic
Explanation
Measure rule
Compute the formation heigneckline from the highest higvertically. Subtract the resultpierce the neckline. The diffewhich prices descend. Alternfrom the highest high to thetwo troughs. Subtract the rehigher of the two troughs toboosts the success rate to 69or breakout point (useful for
Do not wait forconfirmation
Once the right shoulder formsand-shoulders formation is va93% success rate, there is libreakout before placing a tra
Short stop
For short sales, place a stoptroughs or just above the nec
Watch for pullback
Initiate a short sale or add tofor prices to begin falling agasometimes pull back and co
the volume pattern for the three bumps. For example, I assigned the highest
volume to one of the three bumps after looking at the chart pattern. This wasalso done for middle and low volume ranges. After reviewing all the stocks, Iadded up the numbers for the three categories (highest, middle, and lowest vol-
Arco Chemical Co. (Chemical Bas
ume) for each of the three bumps (left shoulder, head, and right shoulder). Thepercentage numbers beside each entry in Table 20.4 tell how many bumps
have the associated volume characteristics.For example, left shoulders have the highest volume, with 49% of themfalling in that category. Heads follow at 37% and right shoulders at 13%, all inthe highest volume category. The only surprise in the figures is the number of
hits in the lowest volume category. Seventy-four percent of right shouldershave low volume, whereas only 14% of left shoulders and 12% of heads showlow volume.
Turning our attention to volume at the breakout, we find that the volumerises on the breakout day by 59% above the prior day (or 159% of the total). Thisis in line with other bearish formations. Shown in Table 20.4 are additional volume statistics for the week after the breakout. Notice how the volume drops offrapidly. Again, this decrease in volume is normal and emphasizes the belief that
prices can fall of their own weight and do not need high volume to decline.
Trading TacticsShown in Table 20.5 are trading tactics, and Figure 20.6 shows an example ofthe measure rule as it applies to a head-and-shoulders top. If you ignore thebackward volume pattern, the formation looks fine. Each of the three bumps
Figure 20.6 The measure rule as it applies to athe formation height by subtracting the necklinesured vertically. Subtract the result from the higminimum target price to which prices decline.
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Head-and-Shoulders Tops
appear rounded and the overall formation is symmetrical. The measure ruleuses the formation height as a basis for computing the target price. In thehead, measure vertically down from the highest daily high until you intersectthe neckline. Subtract the value of the neckline from the highest high. Theresult gives the formation height. In the figure, the stock reaches a high priceof 51 on September 13. Directly below that point is the neckline price at about473/s. The difference of 35/s is the formation height.Once prices pierce the neckline, subtract the formation height from thedaily high at the breakout point. In Figure 20.6, the high at the breakout is481/2> leaving a target price of 447/s. Prices surpass the target when they declinebelow the value in late November. Since the target serves as a minimum pricemove, prices often continue moving down, as in Figure 20.6. However, only63% of the formations meet or exceed the price target. I consider values above80% to be reliable.The measure rule, as just described, is the conventional way to computea target price. However, it does have a flaw. Consider Figure 20.7. Prices during the right trough recession decline to 273/4, well below the higher trough at31 ]/4. A neckline joining the two is too steep. Prices never plunge through theneckline and it is impossible to compute a target price using the conventional
method. Instead, compute the formation height by taking the difference
303
between the highest high in the head and the lowest low in the highest trough(point A on the chart) in Figure 20.7. After finding the formation height,subtract the value from point A to get the target price. In this example, thehighest high is at 335/8 and the lowest low at the highest trough is 3lH, givinga height of 23/8. Subtract the result from 311A to get a target of 287/s. Figure 20.7shows this value, and prices reach the target during mid-April.The alternative method has two advantages. First, it can always be calculated and is somewhat easier to use since it does not rely on the value of theneckline. Second, it is more accurate, achieving a success rate of 69%, meaning that more formations exceed the price target using this alternative methodrather than the conventional one.Returning to Table 20.5, since the formation rarely fails, there is littleneed to wait for a confirmed breakout. Instead, once you are sure a head-andshoulders top is forming and you want to maximize your profits, sell any sharesyou may own or sell short (as close to the right peak as possible). This actionallows you to get out of a commitment sooner than waiting for the necklineto be pierced.Occasionally, prices will rebound at the neckline and move higher. Eitherrepurchase the stock at that point or close out your short. Since prices usuallypierce the trendline on their way down, do not be too quick to repurchase thestock. It may bounce up at the trendline then continue down after moving horizontally or follow the neckline. Sometimes general market conditions or othercompanies in the same industry can provide a direction clue. If they showweakness, expect your stock to follow the crowd and prices to move lower.If you sell short, place your stop-loss order either just above the necklineor above the lower of the two troughs, whichever is higher. Selecting a nearbyresistance point usually works well.If prices pull back to the neckline, consider adding to your short position.However, be sure to wait for prices to begin falling after a pullback. Occasionally, prices will pull back and continue rising.
Sample TradeKelly is not just a housewife; she is much more that. When her husband bringshome the bacon, she not only fries it but cleans up the mess afterward. She balances the books and keeps tabs on their newborn.She started investing years ago for fun. Now, it has become part of herdaily life. In the spare moments between chores, she is often staring at theFigure 20.7 Head-and-shoulders top with steep neckline. There is no target priceusing the conventional measure rule because of the steep neckline. Alternatively,compute the formation height by subtracting the higher trough low (point A)from the highest high. Subtract the result from point A to get the target price.Prices meet or exceed the target 69% of the time versus 63% for the conventionalmethod.
computer screen, reviewing the statistics of a prospective acquisition and letting her daughter bang on the keyboard.Over the years she has been able to parlay their meager savings into a sixfigure retirement portfolio. It was not easy and the mistakes were painful butshe viewed each failure as a learning experience.
304
Head-and-Shoulders Tops
The stock pictured in Figure 20.7 posed an interesting situation for her.She was not keen on shorting a stock because her paper trades rarely workedout. Still, she kept her eyes open and searched for good investment candidates.
21
This one piqued her interest.
The stock began its uphill run just before May 1993. It followed a gentlysloping trendline upward until late January when it stumbled. The stockmoved down to 261/? before recovering, a drop of less than three points, but asign of weakness. Kelly followed the stock closely and when the head appeared,
Head-and-ShTops, Com
she made a note on her program that it might turn into a head-and-shoulders
top. "It just had that certain feel," she remarked. She was right.The right shoulder plunge took prices lower than she expected butquickly recovered to near the left shoulder high. She drew a neckline below thetwo valleys and thought the line was too steep to serve as an anchor for themeasure rule, so she used the alternate measure rule and computed a targetprice of just 287/s. This did not seem right either, so she used the right shoulder low to compute another target. This one turned out to be 217/8, or theheight from the head to the right shoulder valley projected downward from thevalley low. That target would take prices back to the July level and it seemedreasonable to her.Still, something bothered her about the stock and she decided not totrade it. When the doorbell rang, she left her daughter alone briefly to answer
it. Moments later, the phone rang. It was her broker confirming that the stocksold short. Kelly ran to the computer to see her daughter standing on thechair, beating on the keyboard with a wide but guilty grin on her face. Kelly
R E S U L T S SNAPSHOTAppearance
A head-and-shoushoulders, or bot
hoped it was only gas, but, no, she had indeed sold the stock short at 31.After spending some anxious moments reviewing the trade, Kelly decided
Reversal or consolidation
Short-term (up to
to maintain the position. The number of shorted shares was just 100, an
Failure rate
8%
Average decline
27%, with most l
Volume trend
Downward
Fullbacks
64%
Percentage meetingpredicted price target
67%
amount she could live with. Prices quickly retreated to the neckline where theyfound support. The stock bounced and when it moved above the right shoul-
der low, she got concerned. After a few days, the stock leveled out and movedsideways. In case this turned out to be the beginning of a measured move up,she placed an order to cover her trade at 29. That would leave her with a smallprofit but still allow her to participate if the stock declined.Two weeks later, she had an answer. The stock tumbled for 5 days in arow, then just as quickly recovered, only this time it formed a lower high. Thevolatility was wearing her down so she placed an order with her broker tocover her position when prices reached the old low. She was taken out whenprices descended to 223-4 on their way down to 20. After expenses, she madeabout 25% on the trade. Her daughter got a big kiss for her help.
Surprising findings
Formations withleft shoulders per
See also
Double Tops; HRounding Tops;
Except for appearance, there is not much diand-shoulders top and a complex one. Add ato a regular formation and you have a comp
formations have a volume trend that genera
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Head-and-Shoulders Tops, Complex
shoulders. The left shoulders often have higher volume than the corresponding right ones.The failure rate