Analysis: #CAKE is in a strong uptrend and is currently forming a cup and handle pattern on the 30-minute timeframe. This is a classic bullish continuation pattern, signaling a potential breakout.
Key Observations:
Higher Highs (HH) & Higher Lows (HL) indicate a healthy uptrend.
Bearish divergence spotted—indicating a possible retracement.
If support breaks, we may see a trend reversal.
If the handle completes and #CAKE breaks out, it could be an ideal buying opportunity.
Strategy:
Wait for breakout confirmation above the cup resistance.
Entry: On breakout with volume.
Stop Loss: Below recent HL.
Target: Measure the depth of the cup for a price target.
Final Thoughts:
This setup has high potential, but always use proper risk management.
What’s your take on #CAKE? Will it break out or break down? Comment below!