H&S break of neckline and retest

22 Okt 2021

A very promising shorting opportunity at EUR JPY after a recent H&S pattern formation. Targets above the right shoulder and targets around the 130.91 level as this is a level where the price consolidated in the past. We also have the 50% retracement confluence after taking into consideration the most recent swing high to swing low. If we pay attention to the RSI we can also notice the price has recently went into the oversold territory which relates to a push to the upside and a retest of the neckline is likely - this will offer a better opportunity for entry.