How Do I Interpret Reverse Head and Shoulders Chart Pattern?

How Do I Read Reverse Head and Shoulders Chart Pattern?

Reverse Head and Shoulders Chart Pattern is a reversal chart pattern that is formed after an extended gold downward trend move. Reverse head and shoulders chart pattern resembles an upside down head and shoulders chart pattern.

Reverse Head and Shoulders Chart Pattern is considered complete once the xauusd price penetrates and moves above the neckline - the neckline is drawn by joining the two xauusd price peaks that are between the reverse shoulders.

To open a buy gold trade - gold traders place their buy stop pending xauusd trade orders just above the neckline.

Summary: How to Analyze Reverse Head and Shoulders Chart Pattern?

• Reverse Head and Shoulders XAUUSD Chart pattern forms after an extended gold downwards trend move
• Reverse Head and Shoulders Chart Pattern signals that there will be a reversal in the downward gold trend
• Reverse Head and Shoulders Chart Pattern formation resembles an upside down head and shoulders chart pattern - thus its name - Reverse Head and Shoulders Chart Pattern.
• Gold traders will buy when price breaks above the neckline: as explained on the reverse head and shoulders chart pattern example illustrated and explained below.

Interpret Reverse Head and Shoulders Chart Pattern - How to Analyze Reverse Head and Shoulders Chart Pattern?

Reverse Head and Shoulders Chart Pattern on a XAUUSD Chart - How Do I Read Reverse Head and Shoulders Chart Pattern

How Do You Analyze Reverse Head and Shoulders Chart Pattern

Analyze Reverse Head and Shoulders Chart Pattern?