Cup and Handle

lauralea Updated   
Cup and handle and is right around break out level.

Bearish divergence earlier on (white lines or price and RSI) that may or may not have corrected completely.

There is also a possible shark/bullish forming but not sure. If so It would take price to the .886 (marked). It is a matter of which pattern wins, the cup or the harmonic shark pattern. Throwbacks occur when price breaks long entry level only to return underneath in a week or two and can hurt performance. This may clue someone in to see what is going on.

The pattern forming over the handle has a 2nd peak which is higher than the first one. This pattern has not really completely formed and may not even interfere with the cup pattern, just an fyi. Yearly and long term high of 304.50 is at that 2nd peak.

No recommendation.

Price is riding the 50 SMA and the 50 has crossed up and through the 200 and the 100. The 100 has recently crossed up through the 200 which is all bullish crossovers. All these moving averages are sloping up as is the 20 but a bit droopy at the top. The 50 crossing up and through the 200 is called a golden cross by many. I also try to remember moving averages are lagging indicators, and have seen golden crosses occur and price go down. Some would rather rely on what price is telling you or what volume is telling you. Others look at Elliott Waves and some look at chart patterns (o: Technical indicators can help folks too. We are all different.

Watching a stock move for a bit before buying it can be helpful. Learning how it responds to good and bad news can help. Does it never look back once it gets going or does it stall at resistance levels?
If this is a shark pattern, it should complete above the handle low.

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