Inverse Head & Shoulder Candidates
The more I look at charts of the stocks I own and follow, I keep seeing a similar pattern of either strong support or the inverse head & shoulders chart. Not a technical expert, but viewing the charts gives a good picture of what the market thinks about a stock.
Below are some of the stocks that appear setup for a inverse head & shoulders chart which would be very bullish if the stock can break to the upside. Most of them are on the borderline of the right shoulder extending too far so a resolution is likely on the way. Either a breakdown to test a double bottom or a breakout back to potentially the July highs. For many stocks that would be significantly higher.
Weatherford Int'l (WFT) - oil services stock so not surprising that it has similar pattern to the OIH that Cramer profiled a few days ago.
Lincoln Financial (LNC) - not a very well defined left shoulder, but it still has the same binary setup.
Monster Worldwide (MWW) - not sure this qualifies as the right shoulder made more of a higher low, but once $10 is broke to the upside this stock flies to $15.
Would love to have some feedback on what readers think about these setups. Clearly not the biggest technical expert so let me know what you think.
Disclosure: Long WFT, LNC, MWW. Please review the disclaimer page for more details.