Possible Head and Shoulders on the NASDAQ

The NASDAQ index measures the movements on the main technology companies in the United States. The index has closed to the upside, but we can see on the 4 hour chart that it has found some resistance around the 4536 zone, where we can see very close to it the 55 and 200 period exponential moving averages. None the less, if the index breaks above that zone, there could be confirmation of a “Head and Shoulders” formation, which is a bullish reversal chart pattern. But if the index breaks below the 4498 level, then the pattern would be invalidated and the NASDAQ may try to go and visit the lows around the 4430 zone.