-It is a continuation pattern.
-Discovered in 1988 by William O’Neil. I recommend his book How to Make Money in Stocks.
-You need a previous trend in order to have a continuation pattern.
-When the pattern trickles down the “handle” the volume will be slowly declining.
-Once it breaks the “handle,” the volume needs to be very high.
-Remember that the “cup” of the pattern needs to be a “U” shape and not a “V” shape. A “V” shape is likely to be a Double Bottom or a Double Top.
-The “cup” is gradual, it is about a 1/3 retracement from the previous uptrend, and goes back down to re-calibrate itself.
-You want to enter or add to your position when it breaks the “handle.”
#tradingcup #tradinghandle #stockchart #stockpattern
Posted at: https://tradersfly.com/blog/trading-the-cup-and-handle-chart-pattern/
???? Newsletter & Announcements : https://tradersfly.com/go/tube/
???? Discord Group: https://tradersfly.com/go/discord/
???? Freebies: https://tradersfly.com/go/freebies/
???? Start Here: https://tradersfly.com/go/start/
???? Options Basics: https://tradersfly.com/go/start-options/
ONE-ON-ONE COACHING & MENTORING :::
? Coaching: https://tradersfly.com/go/coaching/
???? Options Mentoring (4+ Months) https://tradersfly.com/go/mentoring/
PRODUCTS ::::
? Courses: https://tradersfly.com/go/courses/
???? Books: https://tradersfly.com/go/books/
???? My Tools: https://tradersfly.com/go/tools/
???? My Equipment https://backstageincome.com/go/computergear/
???? SOCIAL MEDIA:
https://tradersfly.com/go/twitter/
https://tradersfly.com/go/facebook/
???? MY YOUTUBE CHANNELS:
TradersFly: https://backstageincome.com/go/youtube-tradersfly/
CriticalCharts: https://tradersfly.com/go/criticalcharts/
BackstageIncome: https://backstageincome.com/go/youtube-bsi/
MyLittleNestEgg: https://mylittlenestegg.com/go/youtube/
???? WEBSITES:
https://criticalcharts.com
???? SOCIAL MEDIA:
https://tradersfly.com/go/twitter/
https://tradersfly.com/go/facebook/
???? MY YOUTUBE CHANNELS:
TradersFly: https://backstageincome.com/go/youtube-tradersfly/
BackstageIncome: https://backstageincome.com/go/youtube-bsi/
MyLittleNestEgg: https://mylittlenestegg.com/go/youtube/
???? ABOUT TRADERSFLY
Tradesfly is focused on me sharing my experience and knowledge about trading options. Although we include videos related to other areas of trading, the primary focus is trading options. If you are serious about learning to trade options for selling premium, creating spreads, be sure to subscribe to the channel and join our discord group.
???? DISCLAIMER
All of the stocks mentioned in this video along with any other videos we have are opinions and not investment, financial or legal advice. These videos are for general education, information, and entertainment. Do your own due diligence and consult with a registered financial advisor before taking any position since everyone has a different risk tolerance.