Has This Bull Had It's Run?

5 thg 12, 2013

DDD looks like it's forming a double top here. This looks identical to the double top from Jan-Feb of this year. The chart pattern prior to that top looks very similar to the one on this recent potential double top. I was short back in Feb but took my profits too early. This time, I will enter a trade by buying puts at around $68, which I believe is just passed the point where a double top will be confirmed. I would start taking some profits at the first level of resistance at around $55 and let the rest of my position (maybe half) play around with that resistance and hope for a break. If this works out, I would have a final price target at around $48. If I'm wrong on this double top, I would exit my trade at around $71.