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neckline

   Also found in: Dictionary/thesaurus, Wikipedia 0.01 sec.
neckline
The line that connects the two lowest points on the intermediate declines of a head-and-shoulders chart pattern. In an inverted head-and-shoulders formation, the neckline connects the two intermediate tops. If the second shoulder breaks through the neckline, it is an indication of a major price movement in the direction of the breakout.
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