US 100 Cash CFD

NAS100 MAY FORM THE BEARISH HEAD AND SHOULDERS.

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NAS100 MAY FORM THE BEARISH HEAD AND SHOULDERS.

NAS100 has been trading sideways since the beginning of the week, forming local highs with lows staying at same price for the most part. The price seem to form the Head and Shoulders reversal pattern

What is a Head and Shoulders?
A Head and Shoulders pattern is a reversal chart pattern signaling a potential trend change. It consists of three peaks: two lower "shoulders" and a higher "head" in the middle, connected by a "neckline" (support level). A bullish (inverse) Head and Shoulders forms at a downtrend's end, signaling an uptrend; a bearish Head and Shoulders forms at an uptrend's end, signaling a downtrend.

Currently the SMA50 is pushing on NAS100 from above, while SMA200 is supporting the price. In case the SMA200 on 30-m minutes timeframe gets broken, we may see the decline towards 23,200.00 support level.

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