TCS SHARE WAS DESTINED FOR FALLING DUE TO THIS PATTERN

5 mai 2023

• TCS had formed a perfect head and shoulder pattern on weekly chart which was nicely broken down and had finally reached the target
  

5 mai 2023

Note

1. LEFT SHOULDER was formed between 18th JAN & 31st JAN

2. HEAD was formed between 1st FEB & 28th FEB

3. RIGHT SHOULDER was formed between 1st MAR & 10th MAR

On 13th mar, the head and shoulder pattern was finally broken with confirmation on the following day indicating that it was a proper head and shoulder pattern

After that on 20th MAR, the price reached the target price of the pattern ie the difference between the top of the head and the neckline and position should have been exited right there.

although at the time of breakout no volume surge occurred but still volume was high all the time during the downward movement making the pattern even stronger.

Also both the shoulders as well as the head were perpendicular to the neckline which is one of the criteria to be fulfilled in order for a head and shoulder to be a successful one

6 mai 2023

Note

Also cake on cherry was that the rsi (5) was in oversold zone at the time of breakdown indicating bearish momentum