A cup and handle pattern is a bullish pattern that predicts the price of a stock will go up or continue to go up. It describes a trend that starts with a downward turn in price patterns. This is then followed by a period of stability, which is followed by an uptrend. The uptrend must be greater than the downturn to make the pattern valid. A cup and handle pattern is a chart anomaly that looks like the silhouette of a cup with a handle.