We had the #banking stock featured here yesterday with our buy signal activated. JPM is a hold now as we’re in rally mode. Opening 3%+ We noted (in yesterday’s post) that a negated head and shoulders pattern can be a profitable trade to the upside. The context of the trade has shifted in the underlying supply/demand ratio – what was once negative has now reversed.
Also, short sellers covering their positions add fuel to the upside. The negated h&s pattern is one of the lesser known patterns and a favorite trade of ours to make.
At Trading Room we search for the biggest winning stocks in the market today.
We use market timing, industry group selection, and chart patterns with price and volume analysis.