Cup and Handle Earnings 12-17 BMOEarnings tomorrow before market open..Cab be risky to buy before earnings. ACN is in a narrowing rising wedge pattern but has not broken bottom trendline, so pattern is not valid..yet Rising wedges can be bearish if that line is broken and represents disruption in supply and demand..
A lack of healthy pullbacks cause 2 lines that slope up abd converge at the apex.
Support at handle low and mid cup which is 229.10/Cup low is 210.42..
NV and OBV are high/short interest is low..
Cup and handle pattern targets are calculated using cup depth and fibonacci levels..American entrepreneur William J. O'Neil defined the cup and handle (C&H) pattern in his 1988 classic, "How to Make Money in Stocks.
O’Neil pointed to four stages in a cup and handle breakout:
The security posts a significant high in an uptrend that accelerated between one and three months prior.
The next pullback carves out a rounding bottom no deeper than the 50% retracement of the prior trend. This marks the "cup."
The next breakout attempt fails at the prior high, yielding a secondary pullback that holds near resistance, grinding out a smaller rounding bottom, which becomes the "handle."
The security returns to resistance for the second time and breaks out, yielding a measured move target equal to the depth of the cup.
Not a recommendation
t
