nimbuz90

Cup and handle pattern formation

Long
NSE:TCS   TATA CONSULTANCY S
The stock has formed a cup and handle pattern. Right now the price is in the handle phase from which a breakout is expected. But before that, the price needs to consolidate in this handle. The minor support lies at 2900-2920. A long position can be initiated only on the basis of future price formation and its analysis.

For now, the ideal long trade can be initiated only above 2960 if it breakouts from the handle. But if the prices go below the cmp , then we can expect it to get support from the 2900 zone based on some bullish confirmation.

Right now we got two long setups.

Setup 1:
Entry - Above 2960 only on confirmed breakout from the handle
SL - 2930
T1 - 2980
T2 - 3000
T3 - 3030

Setup 2:
Entry - 2885-2915 zone based on bullish reversal
SL - 2860
Targets are same as above.

For study purpose.
Thanks
Trade active: Trade got active yesterday @ 2920 which is established as a minor support earlier.
Comment: Since the entry was early @ 2920, i revised my target 1 as 2950 and took partial profits here.
Comment: Will wait for further targets of 2975 and 3000.
Comment: Target 2 done. Trailed my SL
Trade closed: target reached: Finally all my targets met.

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