Tailing Off…Then Up
A tail at the end of a pullback is a good indication of the pullback’s future
success.
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12-12-2001
10:53:35
Aviron (AVIR)
is pulling back into a narrow range on the daily chart. AVIR is currently
down 1.43 to 44.60 and is holding a
3-month relative strength ranking of 98 from TradingMarkets.com.
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The stock finished the day by selling off, then reversing to
close in the top of the range, leaving a tail in its wake. This action will
often shake out nervous longs, who exit and clear the way for the stock to trade
higher.
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The stock has moved almost 5 points higher out of the pattern.
When you see this bar form at the end of a pullback, take note.
Until tomorrow,
Duke