Once the price breaks out from the top pattern boundary, day traders and swing traders should trade with an UP trend. Consider buying a security or a call option at the upward breakout price/entry point. To identify an exit, compute the target price for this formation by adding the height of the pattern to the upward breakout level. Pattern height is the difference between the breakout price (the highest high within the pattern) and the highest low.
To limit potential loss when the price suddenly goes in the wrong direction, consider placing a stop order to sell at or below the breakout price.
The Broadening Wedge Ascending pattern forms when the price of a security progressively makes higher highs (1, 3) and higher lows (2, 4), following two widening trend lines. This pattern may form when large investors spread their buying over a period of time.
The theory goes that after initial buying occurs, other market participants react to the rising price and jump on the bandwagon to participate. Then value investors begin to sell, believing the price has risen too much, which spurs the original large investor to resume buying again. Once these activities stop, the price may break out in either direction.
The latest housing bubble burst in 2005, a few years prior to the stock market meltdown. Some housing prices fell 30-80%
If you want to buy shares of companies that Warren Buffett is buying, purchase shares of Berkshire Hathaway
Operating cash flow is the amount of cash a company is able to generate from its operations
Operating expenses are the costs a company incurs as a part of everyday business operations
Asset management is a term often reserved for the overseeing of assets on behalf of wealthy clients with significant assets
Income from operations will be the net income which is solely focused on revenue from operations minus the cost
Mortgage subsidy bonds are municipal bonds which are used to fund mortgage relief programs (a.k.a. mortgage revenue bond)
Publication 505 serves as a guide to make sure all goes smoothly for people and their withholding requirements
The Three Falling Peaks pattern forms when three minor Highs arrange along a downward-sloping trend line
The Arms Index is also called the Trin (short for “Trading Index”) because it seeks to indicate overbought or oversold conditions by serving as an index of trading activity