support and resistance. That bowl of the rou nding bottom is defined by it. Even at the lowest level. OBJ is an example I’ve had an eye on for quite some time. It recently dropped off a bit more but before the dip there is a flat zone of trading. That’s what I look for. To me that’s silent accumulation by sophisticated investors who understand the fundamentals and their buying makes a floor price under the share that makes the formation of the bowl. By the time the bowl begins to round it you’ve got retail investors coming in bringing the liquidity and because they’re less concerned about their overall buy price the stock gets a bit choppy. That’s what forms the other edge of the bowl. Increasing volume on any spikes during the round out/bowl phase is also a really good one. I think CTM is another example of this.
