I just finished a short video in which I discovered an eerily similar pattern in the NASDAQ. If the pattern repeats then it certainly is going to be a rough third and fourth-quarter for most investors.
In this short three minute video I give you exact points and the formation that I've seen that could make a huge difference to most people's portfolios.
Please feel free to comment on our blog with your thoughts on this market.
As always our videos are free to watch and there are no registration requirements needed.
All the best,
Adam Hewison
President of INO.com
Co-founder of MarketClub
Looks like the H&S pattern is more symmetrical this time than the previous one that you compare with. But it's all boiled to the USD. If the USD pulls back its advances because of the strong Euro, share market may do a dead cat bounce before heading off the cliff.
But then it's also possible that the USD advance is just a retracement of a continuing downtrend as its RSI(14) hasn't substantially gets over 50.
So keep an eye on USD in the next few trading sessions for the sharemarket index performance.