USD/SGD Pivot Point Action

[Nelsy-Boy]

I'm just playing with pivot points on the demo and noticed that USD/SGD failed to get above the monthly pivot point and hold on the hourly chart. Is there such a thing as a triple top and if so, does this chart show a good example and therefore a definite shorting opportunity?

[Caseynotes]

@Nelsy-Boy, there is definitely such a thing as a triple top but I would note a couple of things. The middle peak is higher than the other two so the pattern is more akin to a head and shoulders and looking at the RSI there is good confirmational divergence, the thing is though with a H&S you draw a neck line and then look for a measured move down, same distance as neck to peak, and the pattern has already played out on that big move down after the third high. Price is now testing the clouds first support and RSI is still above zero so I would be looking for more before attempting going short.

[Nelsy-Boy]

Thanks @Caseynotes. Should the H&S pattern result in a move down to where the original move started to create the first shoulder? Is there a general rule of thumb for the return leg after a H&S pattern appears?

[Caseynotes]

@Nelsy-Boy,  the 2 valley's show the neckline and the pattern on the chart is very shallow hence the 2 big bear bars after the third peak basically covered to whole measured move down, the equidistant move from neckline to peak and neckline down to target.