Jabulaniboy
Long

USD ZAR -- Cup and Handle spotted-- need help with analysis

FX:USDZAR   U.S. Dollar / South African Rand
Hello fellow traders. I am relatively new to FX, I have always been trading on the stock markets... I have spotted this cup and handle pattern on the 1W USD/ZAR . I need help with the analysis in terms of the resistance and support levels for the handle ?

I understand that this is a relatively rare pattern that follows a big shoot upwards (long) up to the ratio of half of the cup width, or so says the theory, which means it could go up to R15 to the dollar and upward, later in this year. After a short-term weakening based on the handle parameters. The theory states that the longer the cup pattern takes to form the longer the upward rally will be after it brakes the resistance of the handle. That being said, since this is on the 1W, the trend seems strong, and thus the upward rally could be even greater!

Any ideas or comments ? Thanks
Comment: UPDATE:

Handle just broke the upside on the weekly chart.

Expect upward movements.

Watch for resistance at upper cup around 13.70
Comment: Broke Completely through the resistance of the top cup ending in the previous week last night.

Expect a pullback/correction.

This could still easily go to 15 or 15.50 in my opinion, lets see what happens. It reached a high of 15.70 or .80 for a couple of seconds within two single 1-minute bars at about 03:30 GMT.

I have been holding long since 13.30

I closed half of my long position at 14.70 this morning (even though it hit as high as 15.70, which I missed because I was sleeping off the weekend :? )
Trade closed: target reached: Sorry for updating now. Take profit hit long ago.

SL still not hit..

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