Trading Within The Cup by Rick Martinelli and Barry Hyman
ARTICLE SYNOPSIS ...Trading Within The Cup by Rick Martinelli and Barry Hyman
The classic approach to trading the cup-with-handle pattern is buying on a pullback during an uptrend before price breaks out. But what about traders who prefer to begin taking a position in a stock as it is setting up, rather than waiting for it to hit a new high? Trading within the cup-with-handle is another way to profit.
In our October 1998 article, we described an automated approach to identify stocks that have set up the cup-with-handle structure with proper price and volume
characteristics. The impetus for writing such an algor...