Cup w/ Handles

[IIC]

Billyjoe,
I like the weekly much better than the daily although the daily isn't bad. I like them much more uniform.

Doug,
It's not a bad chart at all. And I wasn't knocking it. Abit jagged and the handle and volume are not the way I would like to see them but it's early in the handle and the cup is what it is. Didn't mean to insinuate that it wasn't a decent example just not as good as you can find them.

Extremely difficult to find many "Classics"...However, I have found as much or maybe more success w/ the close calls than the Classics...Perhaps maybe because there are more close calls???...I don't really know.

If this was a paying job...I'd look at 5,000+ charts every weekend

[billyjoe]

Doug,
Don't know if you considered MATK. Check out the chart and what happened today. I hadn't looked at the chart as I've held it for many months and got lucky today or I should say my son did.

---------------billyjoe

[IIC]

Doug,
Don't know if you considered MATK. Check out the chart and what happened today. I hadn't looked at the chart as I've held it for many months and got lucky today or I should say my son did.

---------------billyjoe

Great B/O...I actually didn't see it until after the close

[jae16]

Doug,
Don't know if you considered MATK. Check out the chart and what happened today. I hadn't looked at the chart as I've held it for many months and got lucky today or I should say my son did.

---------------billyjoe

Hope you locked in some of those gains yesterday!

[billyjoe]

Hope you locked in some of those gains yesterday!

Jae,
Yes, I sold out for +30% at least some good news this week.

-----------billyjoe

[skiracer]

Here's a nice cup formation. Just getting to where I would expect it to begin making it's handle.

[jae16]

Jae,
Yes, I sold out for +30% at least some good news this week.

-----------billyjoe

Congrats! Good to hear! Thats a good way to start the year...

Jerry

[jae16]

Here's a nice cup formation. Just getting to where I would expect it to begin making it's handle.

Thanks ski, I threw it on the watch list! I also started reading that site you gave me... thepatternsite.com, hope to get some good info from it...

[skiracer]

Thanks ski, I threw it on the watch list! I also started reading that site you gave me... thepatternsite.com, hope to get some good info from it...

Bulkowski is the authority and wrote the book on chart patterns and definitions. I like to try to get the charts that are the closest to his definition as possible. It's hard but worthwhile going the extra mile in doing so. I find that they are the ones that perform the closest to what is expected of them. Of course there are always instances where the charts look good and don't fill the bill exactly definition wise. That's where the experience of doing it over the years comes into play. You only get that experience and feel from doing it over and over until you find the style that suits you best.

Check out my link below. You'll find some interesting and informative commentary regarding stocks, charts, and trades there and all for free.

[skiracer]

Thanks ski, I threw it on the watch list! I also started reading that site you gave me... thepatternsite.com, hope to get some good info from it...

Patience with this chart and setup. It needs to make it's handle right here and that could take a few days or week or so. A gently sloping line (handle) downward on lessening daily volume (I like to see the handle and volume lines as close to parallel as can be) is what we are looking for in the handle. It doesn't always work that way but as close to that as possible is best in my opinion. Lots of accumulation volume coming into making the right side of it's cup base.

[jae16]

Thanks ski, I threw it on the watch list! I also started reading that site you gave me... thepatternsite.com, hope to get some good info from it...

Ski can we still consider this a cup w/ handle pattern? I ask because we closed above the left portion of the cup? I am not sure how that should be regarded?

[skiracer]

Ski can we still consider this a cup w/ handle pattern? I ask because we closed above the left portion of the cup? I am not sure how that should be regarded?

I wish I could answer that truthfully and that it would be the case everytime. You very seldom get them to start making the handle right at the exact point of a line across the tops of the left and right sides of the cup. I give them some leeway above the right side and see how the handle developes from there. How much is determined by where and when it begins to slope gently downward into a handle formation if it does. I wouldn't accept it going higher than .5 higher on the right side top than on the left side top. I find the ones that perform the best are the ones that start their handle within .15/.25 of the line across the tops of the left and right sides. I always try to find and trade the ones that are closest to the definition but there are many definitions and thoughts on the max and min of where it should begin. I think there is a definition that states .10 max. above the line. Some cup bases go off and never form the handle. I like the charts to form the pattern and go with the percentages. If you adhere to the handle starting within .25 off that line and it forms a handle as I stated then you are in business to start looking for and expecting a breakout.

[jae16]

Alright got ya... I've been checking out your website daily now btw and it has some very good intelligent information on there.

I also went out and bought one of the Bulkowski technical analysis books from the website you reccomeneded to me... Hopefully that should help me find these patterns some.

[skiracer]

Alright got ya... I've been checking out your website daily now btw and it has some very good intelligent information on there.

I also went out and bought one of the Bulkowski technical analysis books from the website you reccomeneded to me... Hopefully that should help me find these patterns some.

Bulkowski's Encyclopedia of Chart Patterns and Martin Pring's Book on Technical Analysis are the two that I would recommend as necessary for anyone who wants to learn about the technical analysis of charts and technical analysis in general. Glad you find my charts helpful. That site certainly won't hurt you and there are plenty of others that are putting up some good stuff over there. Doug is also there with lots of charts and info.

[IIC]

As a reminder, I have 5 links to descriptions of the Cup w/ Handle pattern at http://SharpTraders.com on the Cups w/ Handles page