BTCUSD Baby Head & Shoulders Pattern broke the Neckline

Hey guys, we might have avoided the breakdown of the major Head & Shoulders of the last days, but now BTC formed a Baby Head & Shoulders on the 1H and broke the Neckline. Now textbook wise, this means we have two Takeprofit levels (= Neckline - Difference the Head to the lows of either left and right shoulder) and one Stop Loss (over the right shoulder).

Now keep in mind this happened on the 1H, but still, this is a very clean pattern. My guess is we will hit the red longterm trendline...but we shall not outguess the market.

No financial advice, just my personal opinion.

Comment:

Trade closed manually: I dont think the pattern will leave us with any more effect than what we already saw. The Stop loss didnt get hit but were back where we started. I will close this trade for a very small loss. Its too far out already to make a direct connection to whatever happens next. Thats the downside of patterns on low timeframes. They can definitely work out in text book manner, but as with this one, it was barely noticeable on the higher TF (4H, 1D) which are the ones most traders are using. I will reduce my targets in future postings if they happen on lower TF like this one. In conclusion, it could be that small drop right after breaking the H&S Neckline that represents all active traders on lower TF. By now, we are in a much bigger structure - a triangle on the 4H:

Comment:

Stop Loss held, Target has been hit, but as I said in last post - there was probably no direct correlation to the H&S pattern any more. Hopefully some of you had stronger hands.