Hi Abe.

I like what you have put forth here. Please continue and discuss your interpretation of what happened afterwards. Did or do you own any of this? If so, when ? If not, why not ?

-Thanks,

Tom

Hi Tom,

I'm glad you like this.  I did not own it back in 2006 as I was looking for perfect u-shaped cups back then.  I guess in the real basic CAN SLIM analysis this might be a cup with a high handle, breaking out on 3/27/2006.  In '06 I don't think I knew what a high handle was.

What happened after, was a major melt-down.  One of the lessons I take from this chart is that, "parabolic moves up are often followed by 6-10 weeks of choppy, tough to handle action."  The action after a parabolic move is very hard to predict as it may be merely a mild test of the 50 day before moving higher such as DRYS on 7-19-2007.  Either way I can sell into the parabolic move up and wait until I get the next pocket pivot to re-enter such as DRYS 8-22-07.  

My current project is to hone in on which 2% extensions should be sold and which should be held. I'll post my POT sale at almost the top tick.