Head and shoulders bearish patterns have a very high success
rate of achieving price target. Very low failure rate. So it
is prudent to be cautious if you are long a stock in this
pattern. POT is in 2 of these patterns currently, already hit
1st target of 187, and headed for 2nd target of 123. This is
a very potent and reliable pattern to the downside. So
one could deduce that POT is a very good short. However,
since it is in one of the strongest sectors, then that
somewhat lessens its attractiveness/and increases its risk to some
degree.
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Head & Shoulders bearish pattern
agricuture/food stocks
Posted by andreac on 14th of Aug 2008 at 02:08 pm
Head and shoulders bearish patterns have a very high success rate of achieving price target. Very low failure rate. So it is prudent to be cautious if you are long a stock in this pattern. POT is in 2 of these patterns currently, already hit 1st target of 187, and headed for 2nd target of 123. This is a very potent and reliable pattern to the downside. So one could deduce that POT is a very good short. However, since it is in one of the strongest sectors, then that somewhat lessens its attractiveness/and increases its risk to some degree.