Cryptorua
NecklineSHS

Inverse Head and Shoulders

ChartBullishReversalReliability:

The mirror of Head and Shoulders: three troughs with the deepest in the middle; a break above the neckline marks a bullish reversal.

Description

Forms at the end of a downtrend. The neckline connects the two peaks between the troughs; a close above the neckline activates the pattern.

Market psychology

The deepest trough (head) is the final sell-off; the shallower right shoulder shows sellers weakening and buyers regaining control.

How to trade

The target is often the head-to-neckline distance projected up from the break; wait for a close above the neckline.

Confirmation

A decisive close above the neckline, ideally with rising volume.

Also known as: Inverse H&S, HS bottom
Educational content only — not financial advice. Cryptorua reads public market data and never places orders.