SUMMARY
Note: Re-Posting due to Downvote.
Here is an example of a Cup & Handle that actually failed! Vivus (VVUS) was in progress of generating the handle formation (blue) as shown in the below chart but it declined to a price that was lower than the lowest point on the Cup pattern. This is not common, but yes, the Cup & Handle can become invalidated.
The correction has been labeled with an ABC and the price action towards red C seems to perhaps have built the left wall of a second rounded price formation (blue arrow). IF this is correct, it's still likely for VVUS to languish in the basin phase for not weeks but potentially months if not years.
IF the five waves of the red C wave are complete, there is potential for a turn. The MACD, while shaping out a symmetrical triangle, has pretty much flatlined. However, given that this is a biotech company, it only takes one news or event to justify any price rise.
Legal Disclaimer: I am not a financial advisor nor is any content in this article presented as financial advice. The information provided in this blog post and any other posts that I make and any accompanying material is for informational purposes only. It should not be considered financial or investment advice of any kind. One should consult with a financial or investment professional to determine what may be best for your individual needs. Plain English: This is only my opinion, make of it what you wish. What does this mean? It means it's not advice nor recommendation to either buy or sell anything! It's only meant for use as informative or entertainment purposes.
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How much sp would you have if you didn't always have hendrix voting for you? Also nice self upvoting on all of you own comments. Hypocrite.
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@haejin self upvote last 7 days: 99%
@lyndsaybowes self upvote last 7 days 2%
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My SP was earned through blogging here for almost 2 years, by a variety of individuals upvoting my content. I actually delegate SP to Hendrix. You know nothing John Snow lol :) And I upvote my comment to move them up to the top, if you're worried about 9 cents, you have some real problems, just wait until day 7, it will be flagged. You see, @haejin and @starjuno flag like bitches, they wait until the 7th day to flag all of my stuff, to hide like cowards hoping no one will notice. Go see my blog Dan. Haejin's been flagging my 7 day old posts for over a month now removing about $4000.00 USD in rewards now. About as much as he makes in 1 day.
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