hold or bail out??, page-4

Hi Nickyjames,

FLT is defninately going to test $12.50 imho, and by the looks of today's effort, it will happen pretty soon. I can post a chart if you like.

Alternatively, do the simple exercise of measuring from the $2.50 base formed in early 1998 up to the $29.00 high, then on the way down calculate 23.6%, 38.2%, 50% and most importantly 61.8% which you will find is around $12.50. You will see the confirmations as at each level on the chart.

Usually you get a bounce around the 50% level, which in the case of FLT was $15.70. There was in fact a little rally there, however I think FLT is now in a terminal dive which will pull up (one would hope) at the 61.8%; this being a normal full retracement pattern for any stock.

Of course there is always a chance of a bounce to fill the large gap between 19 and 17, but I wouldn't hold my breath , I have a feeling it's too far gone now.

Personally I would only be comfortable if completely out of it (I am most of the time), or short, quite frankly. I don't think there is ever any point in holding a stock when you know has much further to retrace, especially when there is never a guarantee that the 61.8% will even hold up, but I could always be wrong here and don't want to influence your thinking...

Note too that if you use the $1.10 lowest base in 1995, the 61.8% target is about $11.80 which is also possible if I haven't read it perfectly.

All the best