This Pattern Seems to be Working Well Right Now
I’ve been tracking several stocks that I traded a week or so ago which are all tracing out similar patterns. They shot to multi-month highs and then pulled back/consolidated for 3 to 5 days or so. The play is to just draw a trendline across the top of the consolidation and buy the breakout. Jamdat Mobile was a great example today. And while I have to admit that I agreed with Kirk’s skepticism over the news which propelled this stock today that didn’t stop me from trying to jump on board (I never did get in today). I’ve seen some real POS-es run much harder than this on no news at all. (I’m not calling JMDT a POS) I just try to keep in mind that the crowd may be stupid but they’re stronger than me. I can choose not to run with the crowd but if I try to run against them I’ll likely be crushed.
Anyway here’s the JMDT chart along with some others showing similar action (STMP, CKCM and AQNT):
tagged: aQuantive-Inc.-(AQNT), Stamps.com-Inc.-(STMP), Technical Analysis and Triangles
