Catching the Wave: Parabolas Don't Lie

If you missed my columns this year on the risk of over-staying the party on the long side of parabolic stock rallies, you could still be stuck in disasters such as Netflix (NFLX). My latest focus on these intoxicating patterns was on Sept. 21, in a column titled "Parabolas Abound," where I documented my strongest warning to date about the risk of remaining in patterns such as that shown by Green Mountain Coffee Roasters (GMCR).

RealMoney Pro members probably remember my similar warnings about Netflix above $250. After falling from $300 to $70 in only three months, Netflix is still not done crashing, but it will be soon. My Elliott Wave Theory target of $50 +/-5 was almost touched last month, and it still should be before the stock falls to a lasting low. So even if you are bleeding from the decline to date, you can still avoid another 40%-50% decline from here....313 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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