I saw a post by Tony on pg. 3, commenting that CDA's run is over.
I disagree, for the simple reason that there was not enough volume during the markup stage. There was not yet distribution.
A very similar case is TRR. I bought this stock just under 6, and it went to 13 1/4 on no volume. It then proceeded to go down to 9 1/4, and now it is currently making highs of about 14.
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Hello Adam,I am glad to see you looking at prior posts on this forum.This can give us insight into many things.After rereading my old post i have decided to hold to that position.This is why! In 1998 when CDA started its run it was about $5.00. It started to climb at not more than 45 degrees like TW states.And it had the low volume that TW talks about many times in his book.You can see the low volume on the chart.Than about Oct.99 the volume increased big time and the stock went up to about 32.50.That was a high volume markup from $14.00-$32.50.Now,someone posted a question of knowing when to sell on CDA.My response was a TW answer.Simply draw a uptrend line from the bottom of the tics[$14.00-straight up,which came out at the $28.50 tic.Once the stock made the turn from $32.50 and came down and crossed over the trendline at $28.50,this was the signal to sell.A beginner might ride these excellent profits down to nothing and get discouraged in the market with there losses.REad the post above my old post on distribution.On this stock that post makes sinces.A run is never over because it will always be in one of the four phases of the stock cycle.Thanks for bringing this to my attention.
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I understand what you are saying, but...if you look at the one year chart of CDA, volume was heavy from Oct. through Jan., only sporadically. During this time the stock hit a high of 26. It then proceeded to go to 32 on no volume. Since Feb. there has been almost no volume on this stock. In other words, the insiders are still in it. These are my personal thoughts. I guess that only time will tell. Thanks for writing such great posts.
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