BAC broke out of its flag this week and did so on higher volume. It is both riding the general market breakout of the Dow:13000 and NASDAQ:3000 rally, plus having unexpected;y passed the recent stress tests (which C did not). The Measure Rule here determines a price appreciation target by taking the movement from the onset of the appreciation to the top of the flag (left most green line), then applying that from the bottom of the corrective flag formation. Target is 11.10. (horizontal green line).
Price appreciation is in high gear as shown by it "walking" the upper Bollinger band--and doing so on higher-than-average volume. Note the lower Bollinger band (arrow) has yet to turn up or even move sideways, indicating the momentum is still strong. This indicator is a Cox-developed one; you will not find it in any book.
The price target is not only a high probability of being met it appears it will be met soon.
