anyone buying today, page-27

LOL

I just logged on to read the post by the chartist wannabee; rkjk

Conclusion:

1] Laughable
2] Pathetic
3] Insulting (to all decent T/A-ers)
4] Educational ... in that it gives all students of the stock market a perfect insight into the "small man's" mentality that drives some of the pathetic hangers-on that frequent forums like Hotcopper!

The problem with amateurs like this, is that they take one TA aspect in isolation & come up with their fanciful conclusions. The reality is that very rarely do quality, professional Technical Analysts pay any attention to double tops.

For those interested:

A double top occurs when prices form two distinct peaks on a chart. A double top is only complete, however, when prices decline below the lowest low - the "valley floor" - of the pattern.

Sometimes called an "M" formation because of the pattern it creates on the chart, the double top is one of the most frequently seen and common of the patterns. Because they seem to be so easy to identify, the double top should be approached with caution by the investor.

According to Schabacker, the double top is a "much misunderstood formation." Many investors assume that, because the double top is such a common pattern, it is consistently reliable. This is not the case. Schabacker estimates that probably not more than a third of them signal reversal and that most patterns which an investor might call a double top are not in fact that formation. Bulkowski estimates the double top has a failure rate of 65%.

cheers