The Shanghai Composite ($SSEC) has been drifting lower since July 2009, with a decline that looks like an inverse Head-and-Shoulders pattern. The neckline is sloping down, which affirms the current downtrend. A break above the neckline and the 2011 high is needed to complete the pattern and reverse the two year downtrend.
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About the author:
Arthur Hill, CMT, is the Chief Technical Strategist at TrendInvestorPro.com. Focusing predominantly on US equities and ETFs, his systematic approach of identifying trend, finding signals within the trend, and setting key price levels has made him an esteemed market technician. Arthur has written articles for numerous financial publications including Barrons and Stocks & Commodities Magazine. In addition to his Chartered Market Technician (CMT) designation, he holds an MBA from the Cass Business School at City University in London.
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