Crew Energy Inc. declined from $21.56 in 2011 to $4.88 in 2012 (A-B) and then settled in a large descending triangle formation made up of lower highs and equal lows for more than one year (dotted lines). The recent rise above about $6.50 signaled the breakout from the triangle pattern and the start of a new major up-leg (C). Only a decline below around $6 would be negative.
Point & Figure measurements provide an initial target of $8 (a 15-per-cent appreciation potential from current levels). The large descending triangle pattern (dotted lines) supports higher targets.
Monica Rizk is the senior technical analyst for Phases & Cycles Inc. (www.phases-cycles.com). Ron Meisels is a contributor to the www.NA-marketletter.com website and Tweets at @Ronsbriefs. They may hold shares in companies profiled. Please see the site for a glossary.
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