PSX · PAPER, BOARD & PACKAGING · 30 Min
MERIT Head & Shoulders forming
Merit Packaging Limited · 22 Oct 2026 · 10:00 PKT
▼ Bearish Forming Chart pattern With the trend
Trade plan
- Close
- 8.84
- ▼ 0.11%
- Target
- 7.49
- -15.3%
- Invalidation
- —
- ATR
- 0.14
- Target
- Invalidation
- Pattern lines
- Fair value gap (bull / bear)
- Order block
- Strong / weak high and low
- BOS · CHoCHstructure breaks
SMC Structure · Order Blocks · FVG · Pattern Detector 30 Min candles · click to enlarge
The breakdown
MERIT has completed a head & shoulders on the 30-minute chart with the head at 9.70 and the neckline at 8.61.
The pattern is confirmed by a 30-minute close below 8.58. The measured move from the neckline points to 7.49 (-13.0%). A close beyond the head at 9.70 cancels it.
Structure: bearish external, bullish internal (strong high 12.03). Nearest demand OB 8.39 - 8.48, supply OB 11.10 - 11.15.
How to read this signal
- 1 The breakout was confirmed by the 30 min candle closing below the pattern at 8.84.
- 2 The target, 7.49 (-15.3%), is the pattern's height projected from the breakout.
- 3 Trend context: with the trend.
Pattern guide
About the head and shoulders
A head and shoulders is a topping pattern: three peaks with the middle one highest, resting on a "neckline" whose break often ends an uptrend.
- Confirmation
- A close below the neckline.
- Target
- The height from the head to the neckline, projected down from the break.
- Fails if
- A close back above the right shoulder or the neckline.