Swing Trading: CHD Present Rare Cup & Handle Opportunity

If you subscribe to our weekly newsletter, you might have caught this one rare bird in the mix: a cup and handle pattern that’s now poised to break out. The stock is Church & Dwight (CHD) a producer of household goods. And the short-term swing set up goes like this:

You take the height of the pattern [A] minus [B], and you add the difference–which in this case is 11.72 to [A] and you get 101.00 (rounded down to the nearest 0.10) at [C].

Let’s see in the coming days or weeks if this plays out. It’s a two-month pattern formation, so the target may take longer to reach than most patterns with shorter durations.

Trading futures, options on futures, and forex involves substantial risk of loss and is not suitable for all investors. The use of leverage is not suitable for all investors and losses exceeding your initial deposit is possible. Carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources and only risk capital should be used. Opinions, market data, and recommendations are subject to change at any time. The lower the margin used the higher the leverage and therefore increases your risk. Past performance is not necessarily indicative of future results.