Powertel went into two eight-week downtrends that stretched two longish red bars across the top of the price graph. When stocks trend down, prices bounce and short-lived rallies ensue. Inevitably, existing shareholders sitting on paper losses try to make it back by buying again at a cheaper price. This is called dollar loss averaging. Alternatively, shorts that are sitting on gains head to the cashier stand.

Only add to your holdings ("pyramid") upon winning positions. Do take profits. The seller is doing the right thing, the buyer is doing the wrong thing. Notice that volume during both of the short lived rallies that produced green bars was thin. This does not indicate a strong trend up.

Alas, with so many stocks out there, it makes more sense to look for opportunity stocks where green dominates the price graph.

Another obvious sign of weakness is that the MACD centerline is near the top of the MACD indicator graph. The MACD lines cross above the centerline in slow moving waves, but these look like the tips of mountaintops, without the persistent bulk that sits underneath.