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Strategies & Market Trends : Charts With An Attitude; Trading In & Out
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To: Greg Butcher who wrote (4145)11/29/1997 2:02:00 AM
From: Doug R  Read Replies (1) of 4701
 
Greg,

Head and shoulders patterns are very tricky little devils. One of the strongest bullish signals is a head and shoulders pattern that is aborted...meaning that once the pattern looks set up, a break to the upside can really take off. BJCT in my last post is just such an example. For BJCT, it would become a screaming buy if it closed above the head on strong volume. Until an H&S actually breaks below the neckline or breaks above the head, the best thing to do is leave it alone.

Doug R
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