3 Peaks & Domed House

I've been looking at a concatenated pattern called the "3 Peaks & Domed House" for the last year.  I call it a concatenated pattern because it can be viewed as a "Triple Top" pattern followed by a "Head & Shoulders" pattern.  The "Three Peaks & Domed House" was coined by George Lindsay, a trader who wrote several books on charting in the 1970's and passed away in 1987.  His market timing was said to be uncanny with the accuracy he developed.   Although the $SPX has sketched this pattern in the crudest of ways, the grand finale doesn't seem to be bearing out unless the last hump on the right was exaggerated.

The following is a very rough sample of the pattern:

The following is a view of the S&P500 index for the past two years:

(click2enlarge)

As of this writing on July 30, 2012, it does not look like that last hump is going to yield a move lower unless it varies quite a bit from the original model.  So only time will tell.  We will keep the following quote handy in case we see a drastic dip lower:

"History does not repeat itself, but it does rhyme."  - Mark Twain