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arn003
Feb 8, 2021 4:01 PM

How to Trade the Cup and Handle Chart Pattern Long

Electronic Arts Inc.NASDAQ

Description

Buy when the price breaks above the top of the channel or triangle. 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.
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