ARA Asset Mgt: Pennant?

Matches textbook description of pennant:

• Strong uptrend before start of formation.
  
• high vol on flagpole
• So far, replacement vol has been low

To trade, would need to see:

• Continuing low vol on retracement.
• Retracement does not last longer that 3 weeks (some books say one month). Currently on day 6.
  
• High vol breakout.

Cut loss would be just below the valley.

Take note:

• 1 for 5 bonus issue proposed approx Apr, need a multiple of 5 lots if buying.

[Update 13th Mar 10]

No pennant. It did not break out with a big strong white candle... rather we got a couple of pussy candles. A breakout finally occurred yesterday:

The uptrend is still intact. If I buy now, cut loss would be at $1.08, 7% below last closing price of $1.16.