 Hey guys, what is going on? It's Brycat23 here with Xtrades. I am going to walk you through a ticker that I really like in the near term just based on recent price action and the price pattern that's been forming really over the last, you know, six to eight weeks primarily and so we're going to just get right into it with DataDog. First thing I should mention is we're obviously coming out of just a longer term downtrend after all the growth that we saw and especially in tech and growth companies as a whole. DataDog did see a lot of selling pressure kind of in February and into March but since kind of mid-March it's been consolidating a little bit granted it's been over a wider range but it's been consolidating and more or less trading sideways. There's been a little bit of downward pressure overall but it's still been kind of consolidating and there's been a pretty good balance of buyers and sellers in the near term but what I've noticed recently is that within this consolidation phase we have an inverse head and shoulders that's been forming and one of the things that I really like about it is the fact that for this bullish pattern it's almost made more bullish and more justifiably bullish because our left shoulder here is larger than our right shoulder so that's kind of like a double confirmation that not only are we seeing less selling pressure on the next touch of resistance on the next touch of this neckline with this right shoulder but we're also just seeing less of a reaction and price which you'd expect when you get that lesser selling pressure so it's really nice to see that the sentiment is is visually changing you can see that even though it's it's a head and shoulders pattern our right shoulder is definitely more bullish than our left shoulder was and just seeing that differential in height and the smaller retracement can really give you a little more comfort in the fact that this is a bullish pattern and and there's likely going to be a nice pop if we do get that bullish breakout of this 94 price range as we expected so it's really nice to see that right shoulder coming in higher than the left shoulder and obviously it's coming in much higher than the head so it's a really nice setup overall as far as the pattern goes as you can see the rejection here off this off this neckline came on much lower volume than any of the previous rejections that we had and it also came on much lower than just average volume so it's really nice to see that all of this volume is kind of drying out and the sellers are getting exhausted and the buyers are not hesitant to step up and participate and take this thing higher so it's really nice to see all that low selling pressure and this small retracement in price kind of having confluence with our bullishness based on the price pattern additionally we do have a really nice crossover that happened in the near term just I have 20 day and 50 day simple moving averages as a default I know that the time frame is four hours but these are hard coded so these are actual daily moving averages so it is nice to see that near term moving average showing shrink relative to the longer term moving average and again you can definitely see that in the price even though prices have trended downwards and we're still technically kind of in that downtrend it's nice to see that the near term bullish sentiment is shifting and that there's more pressure and more momentum with the bulls in the near term and then as far as the actual inverse head and shoulders goes the percentage meeting price target according to the pattern site comm is right around 70% so that's that's a really nice percentage meeting price target and based on that we can kind of project price targets if we do get that bullish breakout that we expect so just remember that this only applies really if we do get that bullish breakout it doesn't apply kind of retroactively you have to break out above your actual trend line resistance and then once that happens they typically reach price target about 70% of the time so don't get into this early and be too eager with it find the right entry and once we get that breakout then we could see a nice move in price and then you have a clear stop where this resistance line is and that should act as your new support and stop loss once we get trading above that price level but at any rate the 70% meeting price target in conjunction with the height of our pattern which is about $20 that gives me an expected move of about $14 right so I'm taking that $20 and just multiplying it by the factor of 0.7 to get that expected move because these do meet price target 70% of the time so that in conjunction with our breakout level being 94 gives us a potential longer term price target of 108 and that actually has confluence with a recent peak so the peak kind of came on a I guess a bit of a dead cat bounce almost back in late February where we kind of bounced off to the bottom and retraced up to 107 and then continued the downtrend but ultimately that's kind of what I'm targeting for a longer term price target based on the price target of this inverse head and shoulders and also just the clear pressure that exists at this 107 price level you know I definitely don't want to get caught hanging on to a couple extra cents if there is some serious selling pressure there and you can see was a sensitive price area even before then back in January there was definitely some selling pressure and some sensitivity in that price range so really would like that 107 108 price level as the long-term price target I haven't labeled here as you know less than eight weeks that's really kind of an approximation again for these price patterns I usually take the price target and the duration of the consolidation phase into account so I'll usually take a look at how long that this has been trending and then I'll essentially just apply that to my price target so this has been trending since about you know the 15th of April and obviously we're in kind of the second week of June so we're really looking at about two months or about eight weeks so that's kind of where I formed my longer term price target because I'd expect that to play out in about two months again based on the fact that this consolidation phase has taken place over two months and then a shorter term price target that I like is kind of targeting this this 100 101 price level again I think that this is a good area it's a 50% extension of our full price target and again it's an area where we saw a rejection from and we saw some sensitivity at this price level previously so in the near term if we do get a strong breakout this is definitely an area where we could see some selling and where we could see some resistance so if you're kind of more bullish in the shorter term where you take a riskier play then you could definitely see some selling pressure in this area and you know in the near term this could be a sticky price zone but in the longer term again I would definitely like to see that kind of 108 price level over the next two months essentially once breakout does occur if we do get that break above 94 so really like the setup overall here with the dog I think that there's just a lot going for it you know we have bullish crossovers kind of dynamic support zones now and then we also have some just bullish momentum in the near term obviously it looks good in terms of potentially breaking out because of the lack of selling pressure at this neckline and again because of the height of this right shoulder being so much higher than the left shoulder really a good sign to see that they're just again both price and volume are agreeing that there's a lack of selling relative to previous attempts at this price level and again I really would like to see these price targets be reached in both the near term and the long term 108 being the longer term price target 101 being the near term price target and that 50 extension of our price target so really like the setup overall here and I do think that there's good value in it if you guys have any questions about the setup or anything that I covered in this video please let me know in the comments down below I'm happy to ask to answer any questions that you might have and thank you guys so much for watching the video today keep an eye on data dog this week I'm hoping for some good moves and hopefully we get that break above 94 and can make a nice high probability and strong risk to reward trade based on this inverse head and shoulders that we're seeing so thank you guys so much again leave a comment ask a question I'm happy to help if you have any questions so thanks so much for joining and have a great day bye