POT is smoking!
I recently featured a look at Potash Corporation (POT) in which I suggested that the stock was extremely undervalued and worth purchasing.
At that time, the stock price was around $120.00. Today the stock closed at over $140.00.
Yes, hindsight is 20/20 but we must learn from the past or we are bound to repeat it!
What can we learn?
Because it is such a short time period, we must look to learn more from technical analysis than from the fundamentals.
- Study the price and volume action at that time. What do you see?
- Study the price and volume today. What do you see?
- What are the differences and what are the similarities?
- The support level then was at $110.00. Do we see evidence of a new support level while looking at today’s chart?
All of these points are something to think about as we look at some elementary technical analysis indicators.
2 Responses to “POT is smoking!”
By Susan Kishner on Jan 31, 2008 | Reply
I found your site on technorati and read a few of your other posts. Keep up the good work. I just added your RSS feed to my Google News Reader. Looking forward to reading more from you.
Susan Kishner
By Tyler on Jan 31, 2008 | Reply
Susan,
Thanks for stopping by. I’m glad you liked what you read. Please feel free to contact me with any thoughts, questions or suggestions.
Regards,
Tyler