Tweezer Bottom in CB Richard Ellis

Published on Friday, 16 July 2010 02:15 Written by Christopher Lynn

New York, July 16th (TradersHuddle.com) - Shares of CB Richard Ellis Group, Inc. (NYSE:CBG) ended the trading session higher by $0.22 or 1.58% from its previous close. CB Richard Ellis' price action develped what can be considered a reversal pattern in the form of a tweezer bottom, which is a candlestick pattern that is usually formed at the end of a downtrend. The tweezer bottom is considered a reversal pattern, so traders will need to monitor the the price action for confirmation.

CB Richard Ellis Group, Inc. (NYSE:CBG) is a global commercial real estate services firm. The Company offer services such as advice and execution assistance for property leasing and sales, forecasting, and valuations.

Traders looking for an entry in CB Richard Ellis can use the tweezers as a good reference point to establish the long position, as the pattern provides defined risk by giving a good reference point for support.

Traders are always looking for tweezer bottoms as they give an entry with a small risk defined, they are a leading indicator that provides an alert for a trend reversal or stabilization. The tweezers imply that bears or sellers were not able to push the stock lower, therefore providing the opportunity to look for a bounce. Below an example of Tweezer Bottom reversal patterns: