A cup‑and‑handle is a bullish continuation pattern where price forms a rounded “cup,” then a short pullback or sideways “handle,” and finally breaks out above resistance to start a new up‑leg.
the long rounded base from 2022–2024 is the cup, the 2024–early‑2025 drift is the handle, and the surge through the blue horizontal line is the breakout completing the pattern.
1. The cup on your chartThe left side of the cup is the long decline from the 2022 high down into the 2023–early‑2024 lows, then price rounds out and climbs back toward the old high, creating the “U” shape.
A proper cup is usually rounded rather than V‑shaped and typically retraces about one‑third to two‑thirds of the prior up‑move, which matches AG’s multi‑month base you highlighted as “Huge cup.”
2. The handle on your chartAfter reaching the cup’s right rim near the blue resistance line, AG pulled back and chopped sideways under that level for a while, forming the “handle” along your rising magenta trendline.
Textbook handles are short consolidations that drift slightly down or sideways in the upper third of the cup and usually retrace no more than about one‑third of the cup’s depth, which is what your 2024–2025 handle does.
3. Breakout and measured move
The pattern completes when price pushes above the handle’s resistance (your blue horizontal line) on strong volume; that’s the vertical run you see into the mid‑$17s.A common target is the “measured move”: add the cup’s depth to the breakout level (cup high minus cup low, then project upward), which for AG gives medium‑term upside into the low‑$20s if the breakout holds.
4. Psychology behind the patternThe cup shows a long process of sellers being exhausted and buyers slowly regaining control as price returns to the old high, indicating accumulation.
The handle is the final shake‑out of weak hands; once price breaks that handle high, sidelined traders and shorts rush in to buy back, fueling the strong breakout leg you’re now seeing.
Measure breakout target
Identify the cup rim (resistance) on your chart – that’s the horizontal blue line around the old high, roughly in the mid‑$14s.
Identify the cup low – the bottom of the rounded base near the $6–7 area on the left side.
Compute cup depth:Example using your chart:Rim ≈ 14.50Low ≈ 6.50Cup depth ≈ 14.50 − 6.50 = 8.00Add this depth to the breakout level (rim):Measured target ≈ 14.50 + 8.00 = 22.50
This follows the standard formula:Target = Breakout price + Cup depth.
So, if the breakout was confirmed just above ~14.5, the first technical objective from the pattern is in the low‑$22s; you can also set partial targets at 62% and 100% of depth (e.g., around 19.5 and 22.5) to scale out.
Good luck. Holding shares long term and leaps.
This is not financial advice. Please do your due diligence
the long rounded base from 2022–2024 is the cup, the 2024–early‑2025 drift is the handle, and the surge through the blue horizontal line is the breakout completing the pattern.
1. The cup on your chartThe left side of the cup is the long decline from the 2022 high down into the 2023–early‑2024 lows, then price rounds out and climbs back toward the old high, creating the “U” shape.
A proper cup is usually rounded rather than V‑shaped and typically retraces about one‑third to two‑thirds of the prior up‑move, which matches AG’s multi‑month base you highlighted as “Huge cup.”
2. The handle on your chartAfter reaching the cup’s right rim near the blue resistance line, AG pulled back and chopped sideways under that level for a while, forming the “handle” along your rising magenta trendline.
Textbook handles are short consolidations that drift slightly down or sideways in the upper third of the cup and usually retrace no more than about one‑third of the cup’s depth, which is what your 2024–2025 handle does.
3. Breakout and measured move
The pattern completes when price pushes above the handle’s resistance (your blue horizontal line) on strong volume; that’s the vertical run you see into the mid‑$17s.A common target is the “measured move”: add the cup’s depth to the breakout level (cup high minus cup low, then project upward), which for AG gives medium‑term upside into the low‑$20s if the breakout holds.
4. Psychology behind the patternThe cup shows a long process of sellers being exhausted and buyers slowly regaining control as price returns to the old high, indicating accumulation.
The handle is the final shake‑out of weak hands; once price breaks that handle high, sidelined traders and shorts rush in to buy back, fueling the strong breakout leg you’re now seeing.
Measure breakout target
Identify the cup rim (resistance) on your chart – that’s the horizontal blue line around the old high, roughly in the mid‑$14s.
Identify the cup low – the bottom of the rounded base near the $6–7 area on the left side.
Compute cup depth:Example using your chart:Rim ≈ 14.50Low ≈ 6.50Cup depth ≈ 14.50 − 6.50 = 8.00Add this depth to the breakout level (rim):Measured target ≈ 14.50 + 8.00 = 22.50
This follows the standard formula:Target = Breakout price + Cup depth.
So, if the breakout was confirmed just above ~14.5, the first technical objective from the pattern is in the low‑$22s; you can also set partial targets at 62% and 100% of depth (e.g., around 19.5 and 22.5) to scale out.
Good luck. Holding shares long term and leaps.
This is not financial advice. Please do your due diligence
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.
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.