$ADS - update to prior idea

NYSE:ADS   Alliance Data Systems Corporation
Update to prior idea

The trade:
  • See if it finishes the cup between $81 and $83
  • Buy the dip when the handle forms
  • Hold on and take profits

The details
The "classic" cup and handle pattern has
at least a 30% increase, followed by no more
than a 30% decline, then finishes the cup
over the span of at least 1 month.
The handle will be a pullback of around 5%
followed by a rally

More positive indicators:
  • broke a major down trend
  • golden cross on the horizon
  • positive earnings were significant last quarter, juxtaposed the prior quarter
  • analysts predictions
  • rebounded from acquisition of Bread
  • very few bag holders as the price increases according to volume shelf
better not bitter


Given the last few trading sessions, what do you foresee next??