Head and shouldersThis is the most popular graphics model that usually formed during an uptrend.
The figure consists of the first price peak (this is the left shoulder), followed by a higher peak (this is the head), and the lower peak (right shoulder) completes the composition.
Such a pattern signals that after the formation of the right shoulder, the price is likely to rebound and go into a downtrend.
Pay attention to the neckline: this is the level of support from which the price pushes. When the chart passes the neckline from top to bottom, traders decide at what point they should open Sell trades.