The little H&S Top pattern in white is the one from Monday. As we discussed, it broke to the downside, but it reversed and took out the high of the Right Shoulder, then the high of the head and went on to score a new high on the session.
So often, patterns "morph," or change, into something else. As it turns out, that H&S Top pattern in white "morphed" into the Left Shoulder of the larger Head & Shoulders Top, in yellow. Once the larger pattern broke down, like on Monday, GS tried to get back above the neckline (the yellow arrow), but only succeeded marginally in do so. The retest of the neckline ultimately failed, and down she went.
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