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Cup and Handle Chart Pattern 2023 : 100% success rate with example: Easy way to learn within 5 mint.

Sure! Here is a straight forward description of the cup and handles chart pattern trading strategyआप ट्रेडिंगव्यू पर कप और हैंडल का उपयोग कैसे करते हैं?

Technical analysts frequently utilise a cup and handle chart pattern, a bullish continuation pattern, to spot possible buying possibilities in the stock market. The cup & the handle are the two basic components.
Cup Formation: The price of the stock begins to trend downward gradually or to correct.

It takes on the shape of a cup and a bowl when the price begins to rise again.

The cup's bottom often has a U shape and lasts for a few weeks or months.

The cup's left side symbolises the stock's past decline, and its right side the stock's uptrend.

Handle Formation: The handle is formed by a small recovery or retracement that follows the cup formation.

The handle is a brief decline in the price of the stock that typically looks like a little flag or pennant.

No more than a third of the height of the cup should be retraced by the handle. It should ideally travel shallowly and sideways. 

Certainly! When trading utilising the cup & handle chart pattern method, you should also keep the following in mind:

Assurance Indicators:Volume: Pay close attention to volume trends as the handle and cup develop. The volume after the handle development should ideally decline, and the volume following the breakout should rise significantly. The breakout's power is confirmed by the high volume.

The cup plus handle pattern may appear on a range of periods, including intraday charts and periodic charts. Choose a timeframe based on your trading objectives and approach.

A cup & handle chart pattern should be seen on a certain stock.

Examine the cup & handle's volume, duration, and form trends to verify the pattern.

Attend to a breakout: Watch for the stock price to move above its resistance mark once the handle has formed.

Taking a long position Purchase the stock when the price, ideally with large trading volume, breaks out above its handle's resistance level.

Decide on a stop-loss order: To prevent further losses, set an order to stop losses below this handle's support level.

Choose a target price: Measure the depth of the cup, then multiply it by the breakout point to determine the probable price goal.

Profit from: When the stock achieves its goal price 

  1. Multiple Timeframe Analysis: Examining the cup and handle pattern over a range of periods might be useful. It gives the possible trade setup more weight if the pattern emerges on both short and longer horizons.
  2. Pattern Depth: Information about the possible power of the breakout may also be gleaned from the cup's depth. The importance of a cup pattern appears to increase with depth and intensity.
  3. Timing and patience: Before making a trade, be patient & wait for the pattern to fully materialise. Avoid entering the market too soon or following the breakout without sufficient confirmation.
  4. Setting suitable stop-loss orders :can help you control risk. Establish a pricing level below which the cup & handle pattern would no longer hold true. 






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