Hand Me That Cup! (by Ryan Avril)

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Thanks to TK’s posts about the “Unicorn Stocks” starting to gain in volume and price, I noticed that many of these newer stocks are starting to make bottoming formations.  This lead to me to look through my watchlist for other basing patterns, in particular, the cup with handle formation. 

Some of these stocks have fallen due to earnings, some may be due to Trade War fears.   Now they appear to be bouncing back.  Most of these patterns still need to complete the base, and form the “handle” if there will be one.  Either way, here is the list of stocks with the patterns drawn in, all forming over varying time scales.

M

It is pretty easy to see the potential based on the previous formation highlighted.

UBER

Of course this is one of the newer stocks, therefore the time of the pattern, and therefore the projected move, are shorter.  Nice symmetric pattern here.

ZM

A successful retest of the IPO low and now trending upward.

ATVI

Almost a year-long pattern here, with a retest of the top a few weeks ago.

BABA

A much longer time frame on this pattern, just waiting for a retest of the break-out (if it ever happens).

CHWY

Back to the new unicorn stocks.  Next will be to see if it can break through the over-head supply zone.

CRWD

Again a nice symmetric pattern, but shorter in length.  However, this has a lot of over-head supply to fight through.

LVS

A longer pattern here, just waiting to break out. 

XLF

Perhaps the longest and most beautiful pattern on them all.  I hate banks, but it’s hard to deny base and the retest that we are seeing here.

Some of these patterns are not yet complete, and seeing as everything is so overbought, people such as TK might be interested in shorting them (LVS comes to mind as a potential double-top).  As always, feel free to share your thoughts below!

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