The Deipnosophist

Where the science of investing becomes an art of living

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Location: Summerlin, Nevada, United States

A private investor for 20+ years, I manage private portfolios and write about investing. You can read my market musings on three different sites: 1) The Deipnosophist, dedicated to teaching the market's processes and mechanics; 2) Investment Poetry, a subscription site dedicated to real time investment recommendations; and 3) Seeking Alpha, a combination of the other two sites with a mix of reprints from this site and all-original content. See you here, there, or the other site!

08 September 2009

The bear market growls on


See charts below...

[Click on charts to enlarge]

Oh sure, the stock in the chart above got slammed by the bear market's ferocious end (September/October 2008), but it has since risen back to its prices prior to the decline, and then some. Wow!

I identify many items in the chart above, up-to-date through today's close of business. Yes, it is a symmetrical triangle; better (more bullish) than that, though, is the internal ascending triangle now building. Note trend line 1, and especially points a and b, which show the breakout and successful test of that breakout. And today, the stock breaks above trend line 3, at point c -- with 180% of average daily volume.

Look at the chart below, which is the same stock and carries over the trend lines from the chart above, but is basis weekly rather than daily: the set up and pattern look bullish to my eyes...

So where is the bear market...? The charts above -- and many, many more -- betray an increasingly bullish picture.
-- David M Gordon / The Deipnosophist

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