rrajesh145

Cup and Handle pattern in VOLTAS

Long
NSE:VOLTAS   VOLTAS LTD
Go long above the resistance line based on confirmation candle in lower time frame

The Cup and Handle :

It creates a U-shape, or the "cup" in our "cup and handle." The price then moves sideways or drifts downward within a channel—that forms the handle.

Entering a Cup and Handle Trade :

When the price moves out of the handle, the pattern is considered complete, and the price is expected to rise.
While the price is expected to rise, that doesn't mean it will. The price could rise a little and then fall, it could move sideways, or it could fall right after entry. For this reason, a stop-loss is needed.

Setting a Stop-Loss

Place a stop-loss below the lowest point of the handle. If the price oscillated up and down a number of times within the handle, a stop-loss might also be placed below the most recent swing low.
Since the handle must occur within the upper half of the cup, a properly placed stop-loss should not end up in the lower half of the cup formation.

Picking a Target or Profitable Exit

Whatever the height of the cup is, add that height to the breakout point of the handle. That figure is the target.
Trade active: Gave good breakout .
Trade closed: target reached

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.