TM Jim,
There is no one particular indicator to warn of a fall off in buying interest. Actually, periods of consolidations are constructive. Therefore, the real question should be, is the trend still intact? Too often, traders make the mistake of thinking a respite during an uptrend is a top, or a temporary top. It is a misleading to make this mistake. When a stock makes a top, the implication is that the up move is OVER, and all rallies, (or position should be sold). The opposite is also true that, if a stock has bottomed and broken out, then all dips can be bought. A TA must be able to recognise the trend of a stock, whether it is in an accumulation or distribution phase during consolidations, and have a trading style or plan for the particular stock.
ABTX has been in a confirmed uptrend ever since it closed ABOVE 5 5/8. There has NEVER been a top formation since the breakout; not at 7, 9, 11 5/8 or any other place that it may have temporarily stopped before the next leg up continued. As long as the action continues to confirm the bull trend, I will stay long. I have not sold any shares since I began buying, and as of now, I intend to ride along with Johnny and "his team."
regards and thanks for the kind words,
TM glen |
