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HEAD & SHOULDERS  |  May 1, 2008
Inverse Complex Head & Shoulders Patterns Form A Bottom
All the major averages recently moved above overhead resistance, breaking out of inverse complex head & shoulders patterns. They are now resting right below their intermediate downward trendlines as handles are forming off the patterns. Do the indexes now have the momentum they need to break the declining trendlines? The trend-based indicators imply that they are poised for a breakout.
by Ron Walker

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