The Cup and Handle pattern is a bullish continuation formation that resembles a teacup, where the price first declines and then rises to form a rounded “cup,” followed by a small sideways or downward consolidation called the “handle.” For example, if a stock rises from ₹100 to ₹150, then slowly corrects to ₹120 and again climbs back to ₹150, it forms the cup; when it then moves slightly down to ₹145 before breaking out above ₹150 with strong volume, it forms the handle. This breakout signals renewed buying momentum, and the expected upside target is typically the depth of the cup (₹30) added to the breakout level, projecting a move toward ₹180.