Wednesday, September 10, 2008

Cup & Handle - Canadian Natural Resource Ltd (USA) (Public, NYSE:CNQ)

As the markets consolidate it's best to stick with the tried and true. Today's attempt at a rally was lame with few good trading opps unless you're buying support and selling resistance.

CNQ formed a perfect C&H pattern after carving out a triple bottom. The target 100% extension was met and slightly exceeded. I was hopeful for a gap fill, but it didn't happen.

GOOG fell out of a 3 pivot point base for a fast move to the next round $ number.

4 comments:

anarco said...

This is very interesting. I always look for the handle to form at the highest point of the cup (in this case $74.13). But did not realize one could be "more flexible" with this part of the pattern (the handle). Thank you.

Anonymous said...

Hey Jamie,

For a stock you don't actively trade (GOOG), that was a very nice exit. Congrats!

Jamie said...

Thanks Jim,

Did not want to hold beyond the next round number because it was trading against the overall market.

Jamie said...

Anarco,

I usually like my handles to line up with a base. In the case of CNQ it lined up with yesterday's 15 min. ORL and the failed C&H pattern (also yesterday). I'm watching this stock everyday now as oil approaches $100.00