Friday, February 28, 2014

"The Kardashian Bottom in Uranium" (CCJ)

File under: Things I did not know.
From All Star Charts:
This is one of my favorite patterns in all of technical analysis. Edwards and Magee, authors of Technical Analysis of Stock Trends back in 1948, didn’t know who Kim Kardashian was of course. So they called this pattern a “Rounding Bottom”. When it comes to these reversal patterns, the bigger and more round they are the better. Today we call this formation, the “Kardashian Bottom”.
2-28-14 kardashian bottom definition
I think Uranium is a great example of one developing as we speak. Look how big and round this one has become over the last couple of years. We’re looking at shares of Cameco, the leading Uranium producer: 2-28-14 ccj
The best part about these big, round Kardashian Bottoms is how explosive the market moves become upon completion....