Spotting a head-and-shoulders pattern, without forcing it
Educational commentary, not financial advice. This reflects the author's interpretation of publicly available information and is not a recommendation to trade.
The head-and-shoulders pattern is one of the first reversal patterns most beginners learn to recognize — three peaks, the middle one highest, with a “neckline” connecting the troughs.
The common mistake isn't misunderstanding the shape; it's starting to see it in almost every chart once you know what to look for. A pattern is only meaningful with the structure and volume around it to support it.