Get started

Cupandhandlepattern

Learn How to Trade Cup and Handle Pattern on Forex & Gold If you are studying a price action, you should definitely know how to identify and trade Cup and Handle pattern formation. Being applied properly, it can generate big profits. In this educational article, I will teach you how to identify this pattern. We will discuss its psychology and I will share with you 2 trading strategies. 📏And let's start with the structure of the pattern. The pattern has 3 important elements: Cup - long-term correctional movement that tends to move steadily from a bearish trend to a bullish trend. Handle - short-term correctional movement with signs of bullish strength. Neckline - upper horizontal boundary of the pattern - a strong resistance that the price constantly respects. ⚠️Being formed, it warns you about a highly probable coming bullish movement. The trigger that confirms the initiation of a bullish wave is a breakout of the neckline of the pattern and a candle close above. Here is the example of a completed C&H with a confirmed neckline breakout, indicating a highly probably coming bullish movement. Depending on the preceding price action, Cup & Handle Pattern can either be a trend-following or reversal pattern. 📉If the pattern is formed after a bearish impulse. It is considered to be a reversal pattern. Here is the example of a reversal C&H that I spotted on EURUSD. 📈If the pattern is formed at the top of a bullish impulse , it is considered to be a trend following pattern. Here is the example of a trend following C&H that I spotted on GBPJPY. The thing is that while the price forms the C&H, buying volumes are accumulating. Even though, buyers are hesitant and reluctant initially, their confidence grows, and the accumulation leads to explosive neckline breakout. There are 2 strategies to trade this pattern. ✔️ Strategy 1. That approach is quite risky , but the reward can be quite substantial. You should monitor the price action when the price is creating a handle. Occasionally, the price starts trading in a falling channel: parallel or contracting one. Your trigger will be a bullish breakout of its resistance and a candle close above. Once the violation is confirmed, you can buy aggressively or set a buy limit order on a retest. Stop loss will lie below the lows of the channel. Target will be the closest key resistance. Here is the example of the handle being a falling channel. ✔️ Strategy 2. Wait for a breakout of a neckline of the pattern. Once a candle closes above that, it will confirm the violation. Buy the market aggressively or set a buy limit on a retest of a broken neckline then. Stop loss will lie below the lows of the handle. Target will be the closest key resistance. Here is the example of the trade based on a confirmed breakout of a neckline of C&P on NASDAQ Index. Applied properly, the strategies may reach up to 70% win rate. As always, the best pattern will be the one that forms on a key level. Try it, test it, and good luck in your trading journey. ❤️Please, support my work with like, thank you!❤️
FX:XAUUSDEducation
by VasilyTrader
1
Godfrey Phillips India – Major Breakout in Progress! 📌 Technical Breakdown & Swing/Positional Trade Idea Godfrey Phillips India is currently breaking out of a 150-day broadening pattern, signalling strong bullish intent with increasing volume participation. Let’s break it down: Key Levels & Market Structure: Monthly Resistance Breakout (Yellow Line): The price has convincingly broken above a key monthly closing resistance, marking a shift in trend. Supply-to-Demand Zone Flip: A critical supply zone (marked in red) was breached and is now acting as an important demand area, where buyers are likely to step in for re-entries at better prices. Broadening Structure: The stock has followed a classic expanding range (marked by white trendlines), showing volatility compression and breakout strength. Weekly Counter-Trendline (CT): A hidden WTF resistance line (yellow) from the weekly timeframe was also taken out, adding further confluence to the move. Cup & Handle Breakout (Cyan Zone): A recent cup & handle breakout with strong volume clusters confirms bullish momentum. Trading at 50-Day High: The stock is now at a new short-term high, indicating sustained strength in price action. Glossary (For Better Understanding): Broadening Pattern: A technical formation where price swings increase in magnitude, forming an expanding structure. Supply-Demand Flip: A price zone that initially acted as a supply (resistance) but later turned into a demand (support) after a breakout. Counter-Trendline (CT): A hidden trendline that acts as a resistance within a prevailing trend, often creating liquidity traps. WTF Hidden Resistance: A key level that isn't easily visible but plays a crucial role in price reactions. Cup & Handle Breakout: A bullish continuation pattern indicating accumulation before a breakout. Volume Clusters: Areas where heavy trading activity occurs, often signaling accumulation or distribution zones. 🚀 Conclusion: With multiple bullish confluences, volume backing, and a clean breakout, this trade setup presents a high-probability swing & positional opportunity. However, risk management remains key! Let me know your thoughts in the comments! Are you tracking this setup?
NSE:GODFRYPHLPLong
by Averoy_Apoorv_Analysis
CAKE Ready for a Breakout? Cup & Handle Pattern in Play!Analysis: #CAKE is in a strong uptrend and is currently forming a cup and handle pattern on the 30-minute timeframe. This is a classic bullish continuation pattern, signaling a potential breakout. Key Observations: 🔹 Higher Highs (HH) & Higher Lows (HL) indicate a healthy uptrend. 🔹 Bearish divergence spotted—indicating a possible retracement. 🔹 If support breaks, we may see a trend reversal. 🔹 If the handle completes and #CAKE breaks out, it could be an ideal buying opportunity. Strategy: 🔹 Wait for breakout confirmation above the cup resistance. 🔹 Entry: On breakout with volume. 🔹 Stop Loss: Below recent HL. 🔹 Target: Measure the depth of the cup for a price target. Final Thoughts: This setup has high potential, but always use proper risk management. What’s your take on #CAKE? Will it break out or break down? Comment below!
Long
by mudusir
3
Ready For Next Bull run! Lets Go To 280,000BTC maintains a strong bullish trend, with the market structure consistently adhering to the Elliott Wave principles, even amid short-term fluctuations. The rounding bottom pattern remains intact, and its full impact is yet to materialize. The price has concluded sub-wave 4, and we are now anticipating the final phase to complete this minor cycle before the larger macro waves take shape. The overarching outlook points to a surge toward $280,000, a target expected to be achieved when market sentiment is at its lowest, as institutional players and major investors continue to accumulate assets during retail sell-offs.
Long
by PIPsOptimizer
Bitcoin: Promising Patterns and Potential BreakoutBitcoin's recent price action has been nothing short of captivating for traders and analysts alike. On the daily chart, we've observed the formation of an Inverse Head & Shoulders and a Cup & Handle pattern, both of which have now transitioned into a Bull Flag. These bullish signals suggest a strong potential for upward movement. Zooming into the 4-hour and 1-hour charts, we can see prominent Ascending Triangles taking shape. These patterns are often harbingers of significant breakouts, and it appears that Bitcoin is winding up for a substantial move. Moreover, when utilizing a Trend-based Fibonacci Extension on the daily timeframe, the golden pocket points to a target of $126k, with the next pocket at $185k. This aligns with historical data and technical indicators, suggesting that Bitcoin might be poised to rewrite history once again. Stay tuned as we monitor these developments and anticipate what could be a historic breakout for Bitcoin!
Long
by impossiblebull
NEST - CUP WITH HANDLEPosition Update: February 6, 2025 Key factors : 1. Low-risk entry point. 2. Very clear bases with VCP characteristics. 3. Has gone through its majority line of supply. 4. Moving on its own drummer, the stock price increased while the market crashing down. 5. High relative strength stock. 6. Volume dries up as less supply coming to the market. 7. The breakout was confirmed with a huge surge in volume. Considerations : The current market environment remains challenging, with broader indices showing uncertain and inconsistent behavior. It is very few stocks that setting up decent bases. I’d like to see if it can hold up and follow through from here.
IDX:NESTLong
by rifqonr
About to Sell Your Altcoins? STOP & Read This First!!🚀 Hey Traders! Ready for Altcoins’ Next Big Move? 👋 If you’re finding value in this analysis, smash that 👍 and hit Follow for high-accuracy trade setups! 💹🔥 I know many are frustrated and losing hope in altcoins due to the current market conditions. But selling your spot holdings now—right before a major move—could be the worst decision of your trading journey. Before making any rash decisions, read this update carefully! 👇 📊 What is Total2? Total2 represents the total market capitalization of all cryptocurrencies except Bitcoin (BTC). It helps us gauge the strength and momentum of the altcoin market. 💡 How to Use Total2 in Trading? 📉 If Total2 is falling → BTC dominance is high, and altcoins are struggling. 📈 If Total2 is rising → Altcoins are gaining strength, signaling a possible altseason. 🔥 Altcoin Market Cap (Total2) Looks Bullish! ✅ Breakout Alert! Total2 has broken out from a cup and handle pattern on the weekly time frame and successfully retested it. This setup is a classic bullish signal, suggesting a strong rally could be on the horizon. 🚀 If this pattern plays out, altcoins could skyrocket! Be patient—your altcoin holdings may soon reward you in a big way. ⚠️ Invalidation Level If Total2 closes below $1 Trillion on the weekly timeframe, the bullish outlook weakens. Until then, the upside potential remains strong! 💬 What’s Your Take? Are we about to witness an altcoin explosion, or will BTC continue to dominate? Drop your thoughts in the comments! Let’s ride this market together and secure those gains! 💰🔥
CRYPTOCAP:TOTAL2Long
by CoreCrypto1
2
COIN- Cup and Handle FormationThere is more to this, but the basic formation is here. Other systems seem to also support the formation (such as Gann, and Harmonics). There are a few 6 month candles overlaid in the entry to this that I was creating- illustrating the 6 month gains to form the cup. The handle portion did catch me off guard as we are typically use to seeing a cup form at the initial correction, but this one seems to have formed inside of the down move (very interesting). Lets see how it works out. If true- its 50% gain on the bone here.
NASDAQ:COINLong
by Moorsc0de
1
Frankly !!BITCOIN is in the ascending phase by the cup and handle. BTC is in a large C&H if it follows these pattern, the price will have a nice rally. ⭐The pattern increases the price by the amount of the measured price movement (AB=CD). Golden analysis Give me some energy !! ✨We spend hours finding potential opportunities and writing useful ideas, we would be happy if you support us. Best regards CobraVanguard.💚 _ _ _ _ __ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ ✅Thank you, and for more ideas, hit ❤️Like❤️ and 🌟Follow🌟! ⚠️Things can change... The markets are always changing and even with all these signals, the market changes tend to be strong and fast!!
Long
by CobraVanguard
4
BTC | W-BOTTOM Pattern Continuation - UPDATEA quick continuation on yesterday's BTC update, with regards to the bullish W bottom pattern that likely takes us into the new ATH. There are a few conditions that need to be met in order to "secure" the W pattern, but we're currently not seeing these conditions met. The good news, is that it's beginning to look more like a cup an handle pattern, also a bullish pattern. This daily lose and especially the weekly close is going to be a KEY candle close to watch. ___________________ BINANCE:BTCUSDT
Long
by CryptoCheck-
2
SILVER | The longest timeframe cup & handle in history!SILVER has been forming a cup-and-handle pattern for the past 45 years. And even though SILVER has made some incredible moves during that time, its price has been blatantly manipulated by the LBMA (London Bullion Market Association), central banks around the world, and a completely fraudulent derivatives market that circulates fake paper silver at hundreds of times greater than the underlying asset. Prices have been artificially suppressed for decades to prop up the global fake fiat currency Ponzi scheme and tighten the grip of control over nearly every asset and human being—making these fake currencies appear legitimate when they are clearly instruments of debt and deception. This artificial suppression of SILVER and many other commodities is coming to an end as the debt-and-death paradigm unravels before our very eyes. The day is rapidly approaching when SILVER will enter true price discovery, and people will not believe the price points it will reach in the very near future. Silver is one of the most—if not the most—undervalued physical assets of all time. Good luck, and always use a stop-loss!
OANDA:XAGUSDLong
by MetaShackle
2
The last bullish chance of ETHEREUM in Mid term!As you can see, the price is forming two bullish patterns on the 4h timeframe, If my view is correct, ETH will rise to $3700 . And if this pattern is correct and breaks, higher targets are possible. Give me some energy !! ✨We spend hours finding potential opportunities and writing useful ideas, we would be happy if you support us. Best regards CobraVanguard.💚 _ _ _ _ __ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ ✅Thank you, and for more ideas, hit ❤️Like❤️ and 🌟Follow🌟! ⚠️Things can change... The markets are always changing and even with all these signals, the market changes tend to be strong and fast!!
COINBASE:ETHUSDLong
by CobraVanguard
11
LINK is bullish now and many Traders don't see it !!!You might wonder why altcoins haven't experienced significant growth compared to Bitcoin. The answer lies in meme coins, as they have caused substantial harm to the market. How many cryptocurrencies do we really need? So, focus on the primary cryptocurrencies in this market. In my opinion, everything is beautiful for the first time, so only pay attention to Dogecoin among the meme coins. Technically, the cup and handle pattern has broken, which indicates a price increase. The price can easily reach the target . If we measure the AB range, which is $17.5 , we can say that the price will easily grow $37 equal to CD. Give me some energy !! ✨We spend hours finding potential opportunities and writing useful ideas, we would be happy if you support us. Best regards CobraVanguard.💚 _ _ _ _ __ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ ✅Thank you, and for more ideas, hit ❤️Like❤️ and 🌟Follow🌟! ⚠️Things can change... The markets are always changing and even with all these signals, the market changes tend to be strong and fast!!
Long
by CobraVanguard
GBP/CHF Breakout Riding the Bullish Wave of the Cup and HandleThe chart for GBP/CHF on the 2-hour timeframe highlights a classic cup-and-handle pattern, a well-recognized bullish continuation setup. The rounded bottom of the cup indicates a period of accumulation, while the subsequent handle reflects a minor retracement and consolidation phase. This pattern suggests a strong potential for upward momentum as buyers regain control and push prices higher. Key support and resistance levels are clearly defined. The rounded bottom has established firm support at 1.1130, while the handle retracement respected the 1.1198 level, reinforcing it as a critical short-term support zone. The neckline of the cup pattern, now serving as a breakout point, is around 1.1204. If bullish momentum continues, the price is likely to test resistance levels at 1.1270 and further extend towards 1.1350. The chart also shows dynamic support and resistance through moving averages or bands, with the recent transition to green indicating strengthening bullish momentum. These indicators are acting as a trailing support zone, adding further confidence to the long position. The long position was initiated at the breakout above the handle consolidation, confirming bullish intent as the price reclaimed the neckline at 1.1204. The stop loss is strategically placed below the handle retracement at approximately 1.1190 to protect against a false breakout or reversal. The initial target is set at 1.1270, aligned with Fibonacci extensions and resistance zones, while an extended target lies near 1.1350, suggesting significant upside potential. Cup-and-handle breakouts typically align with increasing volume during the breakout phase, confirming the strength of the move. Traders are advised to monitor price action closely near key resistance levels to gauge the sustainability of this bullish trend. The setup presents a disciplined and well-calculated bullish breakout strategy. The technical indicators, pattern formation, and risk management align to support a strong upward move, provided market conditions remain favorable. This chart reflects a clear opportunity for traders aiming to capitalize on the continuation of bullish momentum.
Long
by wolfchemist
1
PYPL , PEPS, COIN | HOT STOCKSThere are a few stocks that could be good buys, and are approaching idea l buy zones. PEPSICO VIE:PEPS Pepsi is showing it's "annual correction" as we're finally getting close tot he apex of the correction, which may be an ideal buy zone. PAYPAL NASDAQ:PYPL Paypal is still on my watchlist, for great growth, further adoption and upside potential after finish of a clear bearish cycle: COINBASE NASDAQ:COIN Fairly recently released, coinbase could be a good buy for a long term hold. Also currently observing a pattern that can either be called an Inverse Head and Shoulders, or Cup and Handle. ________________
NASDAQ:PYPLLong
by CryptoCheck-
MBSB Cup & Handle Formation in the MakingShort term MBSB could be heading to support area around 0.700 If Cup and Handle pattern forms, TPs are the greenline marked on the chart. Dividends have been good from this stock, plus it's a Banking stock.. with interest rates stable and potentially going down from here, loans are going to be cheaper and banks profit will grow Q-on-Q. It's also one of the only two Banking stocks that are Shariah Compliant. I am looking to add position at 0.690 (support area) and keep it on my portfolio long term.
MYX:MBSBLong
by babysharkdoodo0
SHIBA INU Cup & Handle could signal potential 300% plus gains!Shiba Inu has left holders very disappointed after the 'Trump Pump' seemingly left it behind, as other, more sought-after altcoins made life-changing gains. However, it does appear that Shiba may still have a few tricks up its sleeve. If this pattern holds true, we could see Shiba make gains upwards of 300% over the next 2 to 6 months. Watch the fair value gap area for potential buy orders, as this area held up nicely in the past. Good luck, and always use a stop-loss!
COINBASE:SHIBUSDLong
by MetaShackle