Local Resistance; Cup & Handle; Targets & 6500%The cup and handle pattern is made up of two "cups." A big one on the left and a smaller one on the right. This would be equivalent to a major low followed by a strong higher low.
Where the first big cup ends becomes a resistance point. The neckline of the pattern.
This week the action is moving strongly above this resistance; resistance conquered = bullish confirmed.
The week is very close to its end.
Notice how there was a strong bullish week in November but the session closed below the neckline of the pattern. After several weeks of consolidation, this resistance fails to keep prices down; up we go.
That's the local resistance and it is now broken. This is also a long-term resistance.
The cup & handle pattern has already been explained.
The last part is the targets, this is what I wanted to show you because it is already obvious that prices are going up. But, how far up can it go?
It can go really, really high but we have some preliminary levels on the chart. These can be hit within 1-3 months or 3-6 months. The second target gives 629% potential from current price. From the market bottom to this target, total growth would be equal to 6,500%. The third target gives a potential of 1,101%.
Thank you for reading.
Namaste.
