Cup and Handle ABC Bullish Long

NextEra Energy, Inc.NYSE

Description

⋅ Dec 3, 2020 4:09 PM

Possible Stop under C..

ABC bullish patterns are a correction pattern and the target is D..D is not here yet though (o:

Targets are calculated using the AB leg of the pattern..

In a bullish market and a bullish stock, targets can extend to 100%, 127% 161% of the AB leg..

Previous cup and handle and so far the handle low (HL) has held as support

Not a recommendation

Chart Patterns

Comments

arama-nuggetrouble

⋅ Dec 4, 2020 1:53 AM

What needs to precede an ABC pattern? ty

lauralea

⋅ Dec 4, 2020 2:09 PM

@nuggetrouble, a low, then an impulse leg which is AB. A has to be lower than C. D would be the target. Istop under C as patterns do fail sometimes..often due to earnings or news and price goes below C

lauralea

⋅ Dec 4, 2020 2:27 PM

@nuggetrouble, This one is very close to C..so stop would be a tad below 72.91..maybe below 72.50..we are all different on risk..I plan to hang on to this so i would place it below 70. If you are trading the cup and handle pattern, then stop would go below HL (Handle low) Which may be the safest stop to hold on to this and preven an intra-day spike down taking you out

lauralea

⋅ Dec 4, 2020 9:38 PM

@lauralea, this one is pushing it..i have faith loong term but C could end up a bit lower