Hi Eric,
It's great to be writing to you once again. When you mentioned Ken Tower, I thought of something I read this week from Todd Harrison, head trader and columnist for Cramer's RealMoney.com and Hedge Fund. He writes the following in an article about Nortel's recent price weakness:
"That's not why I'm writing this. When looking for a trading opportunity, you look for legs under the table. Fundamental legs. Technical legs. Perhaps a short-base leg. The more legs, the more stable the table. While perusing my charts this morning, I noticed something pretty cool. Nortel is in the process of completing a "shakeout formation." Without getting into the technical jargon, I will say that this occurs when a stock fails at a previous top, falls to break a previous bottom (the "shakeout") and reverses up three points (and, hopefully, completes the breakout about the previous tops). Nortel confirms this formation at 78, meaning, if it ticks there, the process is in motion."
xocharts.com
Sounds like a p&f devotee to me. Isn't Atin's site great BTW. What a service he's doing for us p&fer's.
Best to you.
Bruce |
