
The head Forex Rapid Rebate cashback forex bottom rebateforexfee rebateforexbroker one of the ma ForexRapidRebate bottom reversal patterns, common and w bottom, triple bottom, arc bottom, etc. and some k-line reversal patterns For the head and shoulders bottom pattern, there are many potential ways of evolution in the process of formation, the evolution of different ways to bring the results of the operation is often inconsistent, only to understand the potential changes, in order to meet unexpected changes in time to keep up The graph shows a typical head-and-shoulders bottom reversal pattern, which consists of 4 basic elements and is also used as a basis for determining whether a trend may be reversed: The original trend is a downtrend The left shoulder is relatively strong, falling to a weakened head, and the subsequent rise is higher than the left shoulder low The right shoulder is weakened again and cannot make a new low Effective upward breakthrough neckline confirmation In the actual judgment, many investors are most likely to miss the first point, in fact, is also one of the most critical points: the original downtrend head and shoulders bottom pattern as the bottom reversal pattern can appear in a round of downward movement of the late In the above chart, we should also note: the actual trend chart on the left and the simplified chart on the right, the direction of the neckline tilt is not consistent, in fact, this does not affect the head and shoulders bottom In fact, this does not affect the determination of the head-and-shoulders pattern. In the actual trend, the high point on the right is higher than the high point on the left, which is more favorable, i.e. the neckline is more favorable. Second, the position of the head-and-shoulders pattern is determined. It cannot be analyzed in accordance with the technical prediction of the head and shoulders pattern, but should be judged in accordance with the actual trend of the larger level rhythm, which does not constitute a bottom reversal (upward trend in the bottom of the reversal?) Third, the operation of the standard head and shoulders bottom pattern graph shown in a standard head and shoulders bottom pattern, the following knowledge points are explained one by one: 1, the basis of the entry point in the head and shoulders bottom movement, the most basis for buying opportunities in the effective breakthrough of the neckline upward, as well as after the breakthrough of the neckline back to confirm the opportunity, that is, the red point in the graph, this graph of the trend in the exchange rate provides a more entry Opportunity: after the upward breakthrough of the neckline, the price stabilization above the neckline formed an upward relay pattern, which can be combined with the essentials of the relay pattern to seek more entry to do more opportunities And the yellow point in the chart is only with the nature of the game opportunities, whether you can enter or whether you can operate in accordance with the head and shoulders bottom pattern forecast, need more local trends and indicators to further confirm, 2, a reasonable Stop-loss position As the most based on the stop-loss price, should be the head of the head and shoulders pattern, that is, the pattern of the lowest point below, only the lowest point is down through to consider the head and shoulders bottom pattern of the failure of the actual trend, when the red point as the entry point, due to sometimes the overall head and shoulders bottom pattern of the vertical amplitude is too large, such as directly below the lowest point as a stop-loss setting, will affect the profit and loss ratio or the potential loss The two stop-loss price reference lines in the chart are the significant adjustment lows in the upside process, especially the low point of the right shoulder is also the very basis of the stop-loss price And before the head and shoulders bottom pattern is established, choose the yellow point with the nature of the game entry, the stop-loss price must be referred to the lowest point below, in order to play a confirming role 3. Theoretical minimum target calculation Theoretical minimum target calculation is similar to the double bottom pattern, with the head and shoulders bottom pattern of the head of the lowest point to the vertical distance of the neckline, up double, is the theoretical minimum target, but this is only the minimum distance, the actual trend in the magnitude of the calculation should also refer to the large pattern of the trend, mainly depending on the large pattern of the price in the running stage and rhythm Four, the evolution of the head and shoulders bottom pattern before the formation and operation a for the head and shoulders bottom pattern in the beginning of the formation of the prototype; b for the typical head and shoulders bottom pattern, operation reference point with the previous content; c of the running rhythm, evolved into a composite double left shoulder, double right shoulder; this variant, due to the pattern brewing more fully, in the upward breakthrough after the running amplitude of more than the minimum amplitude of the possibility of greater, in the operation of the opportunity point as shown in the figure, and the standard regulation head and shoulders bottom is not too big The difference is that in the rhythm of d, it evolves into a compound double-headed; this variation is more solid because the bottom is more solid, and after the formation of the pattern, the right shoulder position can be seen as a more certain entry opportunity point, and the running space after the breakthrough of the neckline is also expected to exceed the minimum range. e is the standard abc zigzag rebound structure, which needs to be strictly distinguished from the head and shoulders bottom pattern, and is expressed as an upward breakthrough of the neckline. Afterwards, the upward momentum is significantly weakened and difficult to maintain, and soon falls again to the big neckline, forming a zigzag correction and then continues to fall, this evolution requires more indicators to identify more clearly as early as possible f is a head and shoulders bottom pattern, but this head and shoulders bottom pattern has failed after breaking the neckline, the probability of this running rhythm is low, but this is why we have to set a stop loss in any pattern The reason: to prevent the occurrence of unexpected running rhythm Judgment in the actual trend, when there is a head and shoulders bottom prototype, at least for the above situation on the next market operation to make a rhythm judgment, in order to confirm whether it is a head and shoulders bottom reversal pattern; In addition, reminded in the rhythm of the evolution of attention to the more subtle strength, angle differences, and strive to achieve early prejudgment, when the market is in line with the expected rhythm of operation decisive participation V. Head and shoulders bottom In the process of formation of the macd indicator with the guidelines In the process of formation of the head and shoulders bottom pattern, in order to confirm the validity of the pattern and the probability of success, before the completion of the pattern can also find some mutual cooperation from the indicators For example, the above chart is the recent daily chart trend of the euro / dollar, the chart under the red neckline formed a double left shoulder, double right shoulder variant of the head and shoulders bottom pattern, at the beginning of the formation of this pattern, the The macd indicators daily chart bottom divergence is a preliminary downward momentum weakening signal; the second matching signal is generated in the formation of the right shoulder process: before the right shoulder breakout, the macd indicator has gradually returned to the zero axis below, ready for the next breakout upward technical form of preparation