Shanghai Composite Forms Large Inverse Head-and-Shoulders

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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