Quantum Corp. (QTM): Triple Top Breakout Confirmation

Another nice set-up can be seen at QTM point&figure chart. An old triple top breakout from Oct 28, 2010 got a good confirmation today. Preliminary bullish price objective $10.50.

I am receiving questions from some of our subscribers on P&F charts, why we use them, what are the advantages of P&F charts, etc.

As I was mentioning earlier P&F chart can not be used as a solo tool to make buy/sell decision. I review P&F charts AFTER pre-selecting stock for the next day trading as another good confirmation of a good tradable set-up.

There are several advantages to using P&F charts instead of the more traditional bar or candlestick charts. P&F charts:

1. •Eliminate the insignificant price movements that often make bar charts appear 'noisy',
2. •Remove the often misleading effects of time from the analysis process,
3. •Make recognizing support/resistance levels much easier,
4. •Make trend line recognition a 'no-brainer',
5. •Help you stay focused on the important long-term price developments

 
Read more about P&F charts at http://www.stockcharts.com/ Chart School : http://stockcharts.com/school/doku.php?id=chart_school