What Does A Cup And Handle Tell You?
American technician William J. O’Neil defined the cup and handle (C&H) pattern in his 1988 classic, “How to Make Money in Stocks,” adding technical requirements through a series of articles published in Investor’s Business Daily, which he founded in 1984. O’Neil included time frame measurements for each component, as well as a detailed description of the rounded lows that give the pattern its unique tea cup appearance. As a stock forming this pattern tests old highs, it is likely to incur selling pressure from investors who previously bought at those levels; selling pressure is likely to make price consolidate with a tendency toward a downtrend trend for a period of four days to four weeks, before advancing higher. A cup and handle is considered a bullish continuation pattern and is used to identify buying opportunities.
WHAT IS THE TECHNICAL CHART SAYING?
Peso averaging skills is extremely important when it comes to Cup & Handle – if you go in too early you be caught with the downward pressure – however wait for “V” Shape movement Support. More will be discuss is our class; Soon we will be conducting STOCK MARKET CLASSES ACROSS MINDANAO – CALL SHARON @ +639176511344 for APRIL CLASSES…..
MEANTIME CHINA & US TRADE IS CREATING FEAR ACROSS ASIA –
Chinese premier: ‘We must be fully prepared for a tough struggle’
- In prepared remarks, according to an official English handout, Chinese Premier Li Keqiang warned that there will be greater risks ahead for the world’s second largest economy.
- This year’s meeting comes amid tariff tensions with the U.S. — China’s largest trading partner — which have placed immense pressure on China’s economy and financial markets.
- At the annual parliamentary gathering, Beijing also announced the official economic growth target this year will be 6.0 to 6.5 percent, slower than last year. Read More @ https://www.cnbc.com/2019/03/05/china-economy-2019-growth-target-set-at-6percent-6point5percent.html
High Risk Investment Warning:
Please note that Forex and other leveraged trading involves significant risk of loss, It is not suitable for all traders and you should make sure you understand the risks involved, it is recommended that you seek an independent advice, if necessary.