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GS Reached Its Rising Megaphone Target Today

Published 02/14/2016, 12:38 AM

GS 5Y-D Chart

GS Reached the Retrace Target for its Gray Rising Megaphone Today

Goldman Sachs Group Inc (N:GS) reached the retrace target for its gray rising megaphone today.

GS’s high was an exact tag of the top of that formation. That would usually mean a higher high is coming.

Plus, GS put in a head and shoulders top with a right shoulder megaphone (blue), and a right shoulder megaphone would usually mean a squeaker new high for the H&S.

GS appears to be forming an inverse H&S bottom across the bottom of its megaphone right shoulder. An upwards breakout from a complete inverse H&S bottom would be a set-up to go long to the blue megaphone top for a breakout roughly equal to the breakout through the bottom.

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