Dow Cup & Handle Forming: Possible breakout Symm Triangle
Updated
Chart says all. Symmetrical triangle now in fifth wave and narrowing rapidly to apex; correction six months old- maybe time for recovery
Index trading with support @25K (former resistance now becomes support) forming a descending wedge > suggests break to upside
Cup formed from June - July now shallow pullback is forming the handle. A breakdown to lower support will invalidate this idea
Elliot wave form had sharp wave 2 pullback so alternating behavior suggests wave 4 will be a shallow soft landing; fundamentals are still solid
Pennant on flagpole from wave 123 is a descending wedge, taken with approaching apex in symmetric triangle (continuation) & cup formation all point to an upside break.
Irrational exuberance may be just around the corner in August.
Good luck traders!
Index trading with support @25K (former resistance now becomes support) forming a descending wedge > suggests break to upside
Cup formed from June - July now shallow pullback is forming the handle. A breakdown to lower support will invalidate this idea
Elliot wave form had sharp wave 2 pullback so alternating behavior suggests wave 4 will be a shallow soft landing; fundamentals are still solid
Pennant on flagpole from wave 123 is a descending wedge, taken with approaching apex in symmetric triangle (continuation) & cup formation all point to an upside break.
Irrational exuberance may be just around the corner in August.
Good luck traders!
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Futures higher today world markets higher but I smell a bull trap I'm very leery of going long and getting scalped on another downdrdaft. Maybe leaving money on the table but stepping out for a few to see the real trend. Most of the cup-and-handle patterns I've seen have a tricky little fakeout lift back to the lip of the cup then a sharper pullback to 0.50 - 0.618 of cup (or flagpole) height. Waiting to see the breakout before committing - no more whipsaws please!google.com/search?q=cup+and+handle+pattern&safe=active&rlz=1C1AJZK_enUS784US784&tbm=isch&tbo=u&source=univ&sa=X&ved=0ahUKEwiY-63N2rfcAhWBY98KHb6UD8oQsAQIag&biw=1536&bih=732
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Game back on. See my latest post.
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