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Cup And Handle

CRV is Getting Ready For a Skyrocket Move (1D)CRV has formed a Cup & Handle pattern — a well-known structure that typically signals a bullish reversal. From a broader technical perspective, there's additional confluence suggesting a potential trend shift. If the most recent dip holds, it may confirm that CRV has completed its bearish cycle and has now entered a new five-wave bullish structure. Based on the current price action, it's likely that wave 3 is unfolding at the moment. Interestingly, the depth of the Cup & Handle formation aligns well with typical wave 5 targets, offering additional validation for this setup. In this scenario, the wave 3 target sits around $0.78, which also coincides with a previously untapped order block — adding further credibility to the level. For a longer-term outlook, wave 5 could extend above the $1.00 mark, depending on market conditions and overall momentum. Moreover, the Ichimoku Cloud is currently reflecting a bullish bias, with price action moving above the cloud and supportive Tenkan-Kijun alignment — reinforcing the overall bullish outlook. Achieving this target may take time — but as we all know, in crypto, time often behaves differently. — Thanks for reading.
Long
by vs_sayin
Ethereum - Perfect exactly how I thoughtEthereum Stage 1 - Triangle Pattern - Gave perfect breakdown of triangle pattern Stage 2 - Form M Pattern - Have almost completed the selling target Stage 3 - Retesting completed *Current) Stage 4 - Forming inverse cup and handle and inverted head and shoulder pattern Stage 5- in either of the scenario it may come down but if it goes above 2297 expect it to reach 4000/500/7000 in coming days Stage 5.2 - if the retesting is completed and bearish patter is continued expect it to reach to 900 USD For more details ping me GK Trade manthan
COINBASE:ETHUSD
by GKTrademanthan
GBP/USD manipulation going on right now ??gbpusd had a good rise the last few weeks/months, now its time to pay attention. the price is now ranging,. let me tell you what i think. a little bit higher there is a imbalance in the chart. for me and many others thats a reason to short. why do i think manipulation is going on? for the big people in order to go short they need to attract buyers, so how do they do that? they go long, they build up long orders to attract more buyers so the price doesnt go down and the shorts can get filled. thats what happening right now in my opinion. (i can be wrong) also the rsi is overbought (indicating downside could come ) in my opinion the price will be ranging for a week of 2, after that is wil go a bit higher to eventually come down big time , (like 5% or more) here is the setup i will take. no financial advice, just my thoughts
Short
by Professor_TradeStein
3
Understanding the Inverted Cup and Handle Chart PatternUnderstanding the Inverted Cup and Handle Chart Pattern Understanding chart patterns is fundamental for market participants. This article delves into the inverted cup and handle formation, a bearish signal indicating a potential downward movement. Explore its identification, trading strategies, psychological underpinnings, common pitfalls, and more to boost your trading knowledge. What Is the Inverted Cup and Handle Pattern? The inverted cup and handle, sometimes called an upside-down cup and handle pattern, is a bearish chart pattern that may appear during up- and downtrends. It is the opposite of the traditional cup and handle pattern, which is bullish. The inverse formation consists of two main parts: the "cup," which is an inverted U-shape, and the "handle," a small upward retracement following the cup. Identifying the Inverted Cup and Handle Pattern Identifying the inverse cup and handle pattern involves recognising a specific sequence of market movements that signal a potential bearish move. Here's a step-by-step overview of identifying this formation: Cup Formation - Shape: The pattern begins with an inverted U-shaped "cup." The price gradually rises, consolidates, and then begins to decline, reflecting a shift from bullish to bearish sentiment. - Depth: The cup should have a rounded top, not a sharp V-shape, indicating a gradual reversal. The depth of the cup can vary but typically represents a significant portion of the preceding movement. Handle Formation - Upward Retracement: After the cup's formation, prices usually experience a minor upward retracement or consolidation, forming the "handle." This movement should be relatively short and not exceed the initial high of the cup​. - Shape and Duration: The handle often appears as a small flag or pennant and should be brief in duration compared to the cup. An optimal handle retraces no more than half of the cup’s depth​. Breakout Confirmation - Neckline Break: The pattern is confirmed when prices break below the neckline, the lowest point of the handle. This breakout often leads to a significant decline in prices, signalling a bearish trend​. - Volume Surge: Volume typically decreases during the formation of the cup and increases as prices decline, especially during the handle formation. A substantial increase in volume during the breakout can validate the pattern and minimise the risk of false signals​. The Psychology of the Inverted Cup and Handle The psychology behind the inverse cup and handle pattern is rooted in market sentiment and behavioural finance. This bearish pattern reflects a shift from optimism to pessimism among traders. - Initial Uptrend: The formation starts with an upward movement, where traders are generally bullish, driving prices higher. This phase is marked by growing confidence and increasing demand. - Formation of the Cup: As prices peak, consolidate, and start to decline, some traders begin to take profits, leading to reduced buying pressure. The rounded decline of the cup signifies a gradual shift in sentiment from bullish to bearish as traders become cautious and selling pressure mounts. - Handle Formation: The minor upward retracement forming the handle indicates a brief period of consolidation where the market tests the resolve of buyers. It can be considered a dead cat bounce. This phase often traps optimistic traders who expect the uptrend to resume, but the overall sentiment remains fragile and cautious​. - Breakout and Decline: The decisive break below the neckline represents a culmination of bearish sentiment. At this point, selling pressure overwhelms any remaining bullishness, leading to a sharp decline. The volume surge during this breakout confirms the shift in market psychology from hopeful to bearish as traders rush to exit their positions or initiate short sales​. Trading the Inverted Cup and Handle Pattern Trading the inverted cup and handle pattern involves careful identification and strategic decision-making to maximise potential returns. This pattern presents two primary entry points for traders: during the handle formation or after the neckline break. Entry on the Break of the Handle - Risk-Reward Advantage: Entering on the breakout of the handle’s lower boundary offers a better risk-to-reward ratio but requires more skill and confidence in pattern recognition. - Technical Tools: Traders often use a medium-term moving average (like 21 periods) to confirm the downward leg of the handle. A decisive close below the moving average indicates a continuation of the downward handle leg. - Momentum Indicators: Using momentum indicators like the RSI (Relative Strength Index) or stochastic oscillator helps confirm downward movement. Bearish divergence suggests that the bearish trend is likely to continue. - Volume Analysis: Increasing volume during the handle's breakout indicates strengthening seller control. High volume often validates the pattern and potentially reduces the risk of false signals​. Note that volume data may be less reliable in a decentralised forex market. - Stop Loss and Profit Target: Traders typically place a stop loss above the handle's high to potentially protect against upward spikes. The reverse cup and handle pattern target is usually set at a distance equal to the cup's height, projected downward from the handle's breakout point, although it can be greater if the retracement is particularly shallow. Entry After the Neckline Break - Confirmation Advantage: Waiting for the neckline break offers greater confirmation of the formation but may provide a less favourable risk-to-reward ratio. - Price Action: A decisive close below the pattern's low, ideally with a strong candlestick and minimal wicks, indicates a reliable breakout. This typically confirms the bearish trend and provides a clear entry signal. - Volume Confirmation: Higher volume during the neckline break can further validate the pattern and indicate that the breakout is genuine and not a false signal​. - Stop Loss and Profit Target: In this scenario, the stop loss is typically set above the handle's high. The profit target remains the same, projecting the cup's height downward from the breakout point​. Common Mistakes to Avoid When trading the upside-down cup and handle pattern, avoiding common mistakes is key for maximising potential returns. Some of the more common mistakes traders make include: - Premature Entry: Entering a trade too early, before the handle completes or the neckline breaks, can lead to false signals and losses. Most traders wait for clear confirmation, such as a decisive close below the neckline with increased volume​. - Ignoring Volume: Volume is a critical component in confirming the pattern. Low volume during the breakout phase may indicate a fakeout. Traders typically look for a substantial increase in volume to validate the pattern​. - Incorrect Pattern Identification: Misidentifying the pattern is a common error. The cup should have a rounded bottom, not a sharp V-shape, and the handle should be relatively short. Accurate identification requires practice and attention to detail​. - Overlooking Market Conditions: External factors, such as news events or broader market trends, can impact the pattern’s reliability. Traders consider these conditions when planning their trades​. Advantages and Disadvantages As with all chart patterns, the inverted cup and handle pattern comes with its pros and cons. Here are some key advantages and disadvantages of using this pattern: Advantages - Clear Signal: The pattern provides a clear signal of a potential bearish movement, helping traders anticipate market declines​. - Risk Management: With defined entry and exit points (handle high for stop loss and cup depth for profit target), it aids in effective risk management. - Flexibility in Analysis: Several forms of analysis, from support/resistance and momentum indicators to volume and price action, can be used to trade the pattern. - Versatility: Applicable across various timeframes and markets, including stocks, forex, and commodities, making it a versatile tool for different trading strategies​. Disadvantages - Complex Identification: Accurately identifying the pattern can be challenging, requiring significant experience and skill​. - Rarity: The pattern doesn’t occur frequently, limiting trading opportunities. - False Breakouts: Like all chart patterns, it is susceptible to false breakouts, especially if not confirmed with volume and other technical indicators​. - Timing Sensitivity: Entering too early during the handle formation can result in premature positions, while waiting for the neckline break might reduce the risk-to-reward ratio​. The Bottom Line The inverted cup and handle pattern is one of the most popular chart patterns among traders of all levels. However, like any technical formation, it should be used alongside other indicators and sound risk management to potentially increase its effectiveness. By mastering patterns like the inverted cup and handle, traders can gain deeper insights into market psychology and price action to navigate volatile markets with greater confidence. FAQ What Is the Inverse Cup and Handle Pattern in Forex? The inverse cup and handle pattern in forex is a bearish chart pattern. It features an inverted U-shaped cup followed by a small upward retracement (the handle). This pattern suggests that sellers are gaining control, and prices are likely to decline further once the neckline is broken. How Can You Trade the Inverse Cup and Handle? Traders can enter positions either on the break of the handle’s lower boundary or after the neckline break. Entering during the handle might offer a better risk-to-reward ratio, while waiting for the neckline break provides greater confirmation. Key tools to validate the breakout include moving averages, momentum indicators like RSI or stochastic oscillator, and volume analysis. What Happens After the Reverse Cup and Handle Pattern? After the reverse cup and handle pattern is completed, the price typically moves downward strongly. This bearish movement is often confirmed by a strong breakout below the neckline with increased volume, signalling a sustained decline in prices.​ What Is the Opposite of the Cup and Handle? The opposite of a cup and handle is the inverse cup and handle pattern. While the cup and handle indicates a bullish movement, the inverse version signals a bearish trend. Is the Inverted Cup and Handle Bullish or Bearish? The inverted cup and handle pattern is bearish. It indicates that the price will move downwards, suggesting that traders may open short trades. This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
Education
by FXOpen
1
ASAHI SONGWON : Chart Pattern Breakout#ASAHISONG #cupandhandle #chartpattern #breakout #swingtrade #swingtrading ASAHISONG : Swing Trade >> Chart Pattern Breakout soon >> Cup & Handle Visible >> Volumes Dried up >> Good Strength in Stock Swing Traders can lock Profit at 10% and keep Trailing Disc : Charts shared are for study Purpose & not a Trade Recommendation Pls do uour Own Analysis or Consult ur Financial Advisor before taking any position, Dont go all in...plan ur Trades with Proper Position Sizing, Risk Management and clear plan.
NSE:ASAHISONGLong
by moneyfesttrading
SONIC - Time to buy again!Perhaps this is a cup and handle pattern, and if that's the case, it could push the price up to around 65 cents. 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
2
Sherwin-Williams Stock Quote | Chart & Forecast SummaryKey Indicators On Trade Set Up In General 1. Push Set Up 2. Range Set up 3. Break & Retest Set Up Notes On Session # Sherwin-Williams Stock Quote - Double Formation * (Target Entry Or Gap Fill)) At 770.00 USD | Completed Survey * ((No Trade)) On Reversed Settings | Subdivision 1 - Triple Formation * (Anchored VWAP)) + Cup & Handle Structure | Subdivision 2 * (TP1) | Subdivision 3 * Daily Time Frame | Trend Settings Condition - (Hypothesis On Entry Bias)) | Regular Settings - Position On A 1.5RR * Stop Loss At 300.00 USD * Entry At 360.00 USD * Take Profit At 460.00 USD * (Consolidation Argument)) & Pattern Confirmation * Ongoing Entry & (Neutral Area)) Active Sessions On Relevant Range & Elemented Probabilities; European-Session(Upwards) - East Coast-Session(Downwards) - Asian-Session(Ranging) Conclusion | Trade Plan Execution & Risk Management On Demand; Overall Consensus | Buy
CAPITALCOM:SHW
by TradePolitics
EURCHF: Pullback From Support 🇪🇺🇨🇭 There is a high chance that EURCHF will bounce from a recently broken horizontal resistance. After a breakout, it turned into support with a high probability. As a confirmation signal, I see a tiny cup & handle pattern on an hourly time frame and intraday bullish imbalance. Goal - 0.9422 ❤️Please, support my work with like, thank you!❤️ I am part of Trade Nation's Influencer program and receive a monthly fee for using their TradingView charts in my analysis.
Long
by VasilyTrader
1
BTC retesting its cup and handle SupportThe weekly BTC chart shows a perfect cup and handle in play. The price is retracing after breaking the $74k resistance area in Nov 2024. Once the price reaches, the now support, and bounces from $72-74k area we can enter long positions. Previously it took 6 weeks to reach ATH $109K We can expect BTC to reach $110k approx. in 2 months time once it reverses from the support $72-74k And the rest of the 2025 may be Bullish taking us to new ATH
COINBASE:BTCUSDLong
by maberl
ANGEL ONE - Potential Cup Pattern Breakout!Timeframe: Daily (1D) Pattern: Cup Formation (shown with arc) Setup: Price is forming a classic cup pattern. The neckline (arc resistance) is near 2538.40. Price has recently approached but faced resistance around the neckline. Once the price breaks above the arc line with strong volume, a bullish breakout could be confirmed! Targets After Breakout: 🎯 Target 1: 2800 🎯 Target 2: 3000 Stop-loss suggestion: As per your risk management. Notes: Price is currently below the 200 EMA. For a strong confirmation, look for a close above the arc and the 200 EMA with volume spike. Disclaimer This analysis is for educational and informational purposes only. It does not constitute financial advice or a recommendation to buy or sell any securities. Always do your own research and consult with a qualified financial advisor before making any investment decisions. Trading involves substantial risk.
NSE:ANGELONELong
by jeet20
Bitcoin (BTC/USD) - Cup and Handle Breakout🔍 Pattern Identified: Cup ☕ & Handle 🏆 Pattern 🕒 Timeframe: 1-Hour Chart (1H) 💥 Breakout Level: Around $95,000 🎯 Projected Target: $97,073.75 📈 Technical Overview: Bitcoin formed a rounded cup showing accumulation at lower levels. After completing the cup, a small pullback (handle) indicated a healthy consolidation. A strong breakout above the neckline resistance confirms the bullish pattern. ⚡ Actionable Insights: As long as the price stays above the neckline, momentum remains positive. A breakout generally leads to a strong continuation rally towards the projected target. 📊 Watch for volume confirmation for added strength. ⚠️ Caution if price slips back below the neckline – breakout may invalidate. Disclosure: I am part of TradeNation's Influencer program and receive a monthly fee for using their TradingView charts in my analysis.
TRADENATION:BTCUSDLong
by TradZoo