Friday, December 10, 2010

Bank of America (BAC)

This is BAC (Bank Of America) at 3:01 pm on Friday December 10, 2010. Yesterday (Thursday December 9, 2010), BAC opened with a nice gap to the upside and finished at $12.65 with (much) better than average volume. I'd like to see some nice volume by the end of today's trading to feel good about it. The double bottom is not confirmed but we'll see.

We'll come back to BAC (Bank of America) next week at about the same time and see if BAC did indeed double bottom by going to at least the next resistance level. I mean, it's nice to announce double bottom patterns but it's even nicer to follow up and see if they actually materialize and behave as expected after that. Otherwise, what's the point of announcing developing double bottoms?

Update (01/06/2011):

Yep, that was definitely a double bottom for BAC. The stock met some resistance at $12.75 but then it went up confirming the double bottom pattern.