How to Invest: Cup-With-Handle Chart Pattern
· Prior uptrend of at least 30% and then start selling off · Base occurs over at least 7 weeks · Handle must form in the upper half of cup · Volume decrease in Handle · Identify the buy point · Breakout (50% > Volume surge at buy point), that show strong institutional support
How to Invest: Double Bottom Base Pattern
a. Prior uptrend of at least 30% and then start selling off b. Base occurs over at least 7 weeks c. Pattern resembles a 'W’ d. Second leg of the ‘W’ must undercut the first e. Identify the buy point f. Breakout (50% > Volume surge at buy point), that show strong institutional support
How to Invest: Flat Base Pattern
a. Prior uptrend of at least 30% and then start selling off b. Base occurs over the at least 5 weeks c. Price range during base less than 15% d. Volume dry up / shakeout e. Identify the buy point f. Breakout (50% > Volume surge at buy point), that show strong institutional support
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