Cup and Handle Pattern
A rounded recovery followed by a smaller consolidation is commonly called a cup and handle. Learn the idea, then try a free trading decision game.
Quick answer
A rounded recovery followed by a smaller consolidation is commonly called a cup and handle. The handle can provide a reference for a breakout plan, but loose shapes and hindsight make the pattern easy to overinterpret.
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Understand the idea
A rounded recovery followed by a smaller consolidation is commonly called a cup and handle. The handle can provide a reference for a breakout plan, but loose shapes and hindsight make the pattern easy to overinterpret.
A decision to think through
Mark the handle edge before looking at the next candles. Check whether your entry would still have room before nearby resistance.
Try it through free practice
- Explain the evidence available before the outcome.
- Read the feedback and identify one change to your process.
- Revisit the decision later and check what you remember.
Your next free learning challenge
Play five free trading decisions. Make five decisions, read the explanation after each answer, and try to state the condition in your own words. First-time correct decisions earn skill XP; later reviews check what you remember. You can then apply the idea in a chart round and inspect the replay. All games, levels, written lessons, and feedback are free, with no signup or real money.
Frequently asked questions
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Sources and review notes
- FundedReady methodology - How FundedReady reviews educational simulator and trading content.
FundedReady is an educational simulator. This page is not financial advice, a signal service, or a promise that any strategy will be profitable.