Don't throw darts! My Charting is usually right 85% of the time, that defies a 50/50 pure luck pigs eye chance that you imply is the only other method. No method is 100%, and I did not mean to imply that, still its a talent, not a skill. I am usually right, I have been wrong about 3 times when i should not have been (per number crunching, but in my defense, I blame low volume days, and that, "low volume" is something no one is good at predicting, price yes, volume, thats really a tough one, since its other peoples money, and not three people's money (Ask/Market Maker/Bid) in a buyer/seller contest. You can't send out invitations to buy or sell usually and so on low volume days, all number crucnhing is statistically suspect already for lack of an adequate sample. In other respects I agree completely with your original post. This means AOL can go up or down, but your analogy on the triple bottom is not quite right, the triple bottom in referring to bottoms, means when the weak leave the market, that means the support that is left, has been tested three times, and that is historically strong support (Absent anything else). For the rest of you reading this, a triple bottoms signals the stock will rise, because the remaining stock holders bought higher and have not SOLD OFF the three last times the stock tested that BOTTOM, thereafter the stock rises, since most stockholders want to make a profit, they do not sell until they have made 10, 20, 50, 100% etc on their investment, and therefore, statistically the stock usually rises after having tested a triple bottom (chart wise).
I am,
Truly yours,
-Crystal ball |
