OK, self confessed user of technical analysis and trend follower, with some usage of William O'Neil CANSLIM methods
Enrolled in MBA program, and this is cut and pasted from my textbook Corporate Finance by Ehrhardt and Brigham. Bold by me to make a point.
Evidently the authors have not heard of flat base breakout or Cup with Handle patterns.
Comments ?
Enrolled in MBA program, and this is cut and pasted from my textbook Corporate Finance by Ehrhardt and Brigham. Bold by me to make a point.
If a stock’s price is stable, this probably means that little new information is arriving. But if you think it’s risky to invest in a volatile stock, imagine how risky it would be to invest in a company that rarely releases new information about its sales or operations. It may be bad to see your stock’s price jump around, but it would be a lot worse to see a stable quoted price most of the time and then to see huge moves on the rare days when new information is released.Fortunately, in our economy timely information is readily available, and evidence suggests that stocks—especially those of large companies—adjust rapidly to new information.
Evidently the authors have not heard of flat base breakout or Cup with Handle patterns.
Comments ?
