Goldman: Possible H&S Top

In Friday's Comment Section, Kevin said, regarding Goldman: (excerpt)

"..it broke through the bottom support, and has been setting up the H&S, with both a left should and head complete and right shoulder well on its way. I have the neckline slightly increasing, currently at 159.25 give or take..."


Good observation from Kevin. If Goldman sells off and I make some bucks, I owe him another one (I owe him one from AMZN) ;)

On Thursday (candle circled in red), the 8...13...21...RSIs closed at/near Bearish Synchronicity, which made the 162.61 low of that candle a sell pivot from that particular indicator. Indicators don't know what the chart looks like, so it's our job as analysts to look at the chart when any signal is given, and make a determination about whether or not we want to act on it. In this case, given the "possible" Right Shoulder forming, as Kevin mentioned, I did.

Bearish Synchronicity means that the fibonacci sequential measures of relative strength got inverted (faster below the slower), tried to rally back into bullish position (faster above the slower), but only made it to "synchronicity," where the readings were very close, then failed there by turning back down.

The compression of energy seems to work a bit like pulling back on rubberband as far as it will stretch, like a slingshot that we used in grammar school when we inserted a wad of paper then let go of the stretched end of the rubberband, targeting the back of the neck of our buddy who was sitting across the classroom looking out the window, unsuspectingly. It always is preferable to use a little spit on the wad of paper, so that our effort doesn't go unnoticed. Hee...hee...hee...

The neckline of the putative H&S Top comes in today, August 17, at 159.706.