A Little Cup, Big Potential
Intermediate-term players are well versed in the art of trading the cup-and-handle pattern. What many daytraders are unaware of is that the pattern works
equally well for shorter-term traders.
11:59:55
Intraday Setup Alert
Northrup Grumman (NOC)
is trading in a cup and handle at the intraday high. NOC is up 3.81 at
126.06.
Just as in the longer time-frame, when the stock clears the top
of the cup, the trader has a signal for a potential entry.
Traders have the option of taking a quick 1-point profit, or
taking half off and letting the rest have a little room after moving the stop to
break even. The second scenario is best for maximizing the profit of the trade,
as it has gained another point. Trailing the stop upward will continue to do so.
Until tomorrow,