♂ ♂️ Explanation of the cup and handle pattern and this model is continuity and not reflexive ✅
Model Explanation
It is one of the positive corrective continuity patterns that forms after a stock rise, that is, it forms during an uptrend, and it represents a period of rest for the stock, after which a breach to the top occurs.
In this model there are two parts:
1/ The cup, which is formed after the stock rises and appears in the form of a circular bottom.
2/ The handle , which is formed after the construction of the cup is completed and is on the right side of the cup
CUP AND HANDLE
Form Terms
1 - Since it is basically a continuation model, the price movement that comes after it is in the same direction as the price movement that comes before it. In stocks, it only comes in an upward manner. In currencies, it may come after a downtrend or an upward trend, and the price continues to move after that in the same direction. .
2-The model consists of two successive bottoms, the first is a large bottom called the cup, and it is preferable to come in the shape of the letter U and not the letter V. The other bottom is a small bottom that comes after the big bottom and is called a handle . Sometimes you do not find it in the form of a bottom, but may It comes in the form of a flag model or a flag model.
3- It is preferable that the bottom of the cup should not exceed (correct) more than the distance between one-third to one-half of the previous price movement and it should not, in any case, exceed two-thirds. As for the bottom of the handle , it should not exceed or correct more than one-third of the previous distance and The less the correction distance in the loop, the better.
4- The line connecting the tops of the pattern is called the resistance line, and it is preferable that all the tops come at the same level as possible
5- In the case of stocks, it is preferable to have a strong trading volume with a breakout of the resistance line up
cup model
How to measure the target of the model
It is done in the vertical way, where the distance between the top of the second model (the second peak in relation to the cup and the middle peak between the cup and the handle ) and the bottom of the cup is measured and then collected on the penetration point to obtain the target of the model
.... After some complex calculations, we expect that the price of gold will fall to levels of 1680 . and then start its journey to the highest level until it reaches the level 2750 in the period between the last quarter of 2023 to the second quarter of 2025
Model Explanation
It is one of the positive corrective continuity patterns that forms after a stock rise, that is, it forms during an uptrend, and it represents a period of rest for the stock, after which a breach to the top occurs.
In this model there are two parts:
1/ The cup, which is formed after the stock rises and appears in the form of a circular bottom.
2/ The handle , which is formed after the construction of the cup is completed and is on the right side of the cup
CUP AND HANDLE
Form Terms
1 - Since it is basically a continuation model, the price movement that comes after it is in the same direction as the price movement that comes before it. In stocks, it only comes in an upward manner. In currencies, it may come after a downtrend or an upward trend, and the price continues to move after that in the same direction. .
2-The model consists of two successive bottoms, the first is a large bottom called the cup, and it is preferable to come in the shape of the letter U and not the letter V. The other bottom is a small bottom that comes after the big bottom and is called a handle . Sometimes you do not find it in the form of a bottom, but may It comes in the form of a flag model or a flag model.
3- It is preferable that the bottom of the cup should not exceed (correct) more than the distance between one-third to one-half of the previous price movement and it should not, in any case, exceed two-thirds. As for the bottom of the handle , it should not exceed or correct more than one-third of the previous distance and The less the correction distance in the loop, the better.
4- The line connecting the tops of the pattern is called the resistance line, and it is preferable that all the tops come at the same level as possible
5- In the case of stocks, it is preferable to have a strong trading volume with a breakout of the resistance line up
cup model
How to measure the target of the model
It is done in the vertical way, where the distance between the top of the second model (the second peak in relation to the cup and the middle peak between the cup and the handle ) and the bottom of the cup is measured and then collected on the penetration point to obtain the target of the model
.... After some complex calculations, we expect that the price of gold will fall to levels of 1680 . and then start its journey to the highest level until it reaches the level 2750 in the period between the last quarter of 2023 to the second quarter of 2025