Niles: PnF:
I don't really want to comment on this, but since my name was brought up, I will. Everyone do whatever makes you feel good. My opinion, however, is that PnF is worthless with respect to PRICE TARGETS - which is what you asked about. If you had asked whether PnF was a useful technical tool for determining the probable direction of a stock over the next X period, then there is plenty of room for me to find common ground. However there is ZERO chance I will agree that they are of ANY value with respect to the validity of the price target itself. And, unfortunately, the temptation by readers - or users - of PnF is to accept the price target as a valid reason to buy a stock. Why? Because it is a lazy man's way of determining the future potential of a stock. I mean if you own a stock at $1.00 and they say $3.00. How much DD is necessary?? That is why it is so tempting to focus exclusively on the price targets - which IMO is a mistake.
Anyway, that's my opinion. Price Targets - NO. Short term (1 week to 3 months) directional indicators - maybe. DYODD.
Len