Briefly revisiting this stock and an earlier posting from EIS, that wedge pattern was indicating a top, as indeed went on to occur. The timing of the run up also fitted roughly with how the business cycle was looking, into the peak, where unemployment goes lower, more jobs available and being filled, by of course placement agencies. The price of a stock is usually six to twelve months ahead of actual developments and will price in the information accordingly, in advance. Charts can be a reliable guide to future price movements, and the economy in general. And if you trace economic movements back far enough, you find eventually the economy is all built on land and resource value.

We teach this in our business cycles / wealth class if you are further interested.