Cup & Handle Setup
O'Neil's classic setup from 'How to Make Money in Stocks.' A rounded U-shaped base (the cup) followed by a short, shallow pullback (the handle). The handle shakes out the last weak holders before the breakout.
Target before stop: 21% reached +20% before −8% within 40 sessions. Sample: n=53 eligible setups. Average: +1.9% per setup (+0.24R).
Source-bar window: 2025-03-17–2026-09-04. Entry requires an executable breakout fill after the signal; unresolved setups receive the full replay window. Historical and illustrative, not predictive. No brokerage slippage, fees, taxes, or individualized sizing.
How this is measured →Setup Criteria
- › Cup depth typically 12–33% for leading stocks
- › Cup duration 3 weeks to 6 months
- › Handle forms in upper half of the cup
- › Handle pullback no more than 8–12% from the rim
- › Volume dries up during the handle, surges on breakout
Buy the breakout above the handle pivot (1–2 cents above handle high) on a volume surge.
Just below the bottom of the handle.
Worked Example
XLE — flagged as a Cup & Handle on Sep 11, 2026 (score 92). 26 weekly bars with the 10-week SMA.
Entry / stop / target annotations are drawn for Pro members. Unlock →
Historical detection shown for education — not a current recommendation.
Today's Cup & Handle Setups — 14 found
| Ticker | Setup score | RS score | Trend |
|---|---|---|---|
| CF CF Industries Holdings, Inc. | 81 | 82 | ✓ |
| APA APA Corporation | 80 | 88 | ✓ |
| XLE | 92 | 84 | ✓ |
| COP ConocoPhillips | 90 | 74 | ✓ |
| HUM Humana Inc. | 88 | 90 | ✓ |
| MU Micron Technology, Inc. | 85 | 98 | ✓ |
| TRV The Travelers Companies, Inc. | 82 | 70 | ✓ |
| XOM ExxonMobil Holdings Corporation | 79 | 66 | ✓ |
| NUE Nucor Corporation | 68 | 83 | ✓ |
| IQV IQVIA Holdings, Inc. | 55 | 84 | ✓ |
| IVZ Invesco Ltd | 55 | 69 | ✓ |
| NEM Newmont Corporation | 55 | 79 | ✓ |
| REGN Regeneron Pharmaceuticals, Inc. | 55 | 67 | ✓ |
| CRWD CrowdStrike Holdings, Inc. | 50 | 91 | ✓ |
