Speculative Observation
It is just our luck that Cephalon Inc. (CEPH) did exactly what we thought would happened based on the chart pattern in our August 27, 2009 article. In that posting, we said that we thought that Cephalon would experience a price breakout starting on the September 5th. The bias that we had in the article was clearly in favor of a stock price rise in the breakout formation. Part of our justification for this was due in part, on the fact that CEPH was, according to our metrics, relatively undervalued. However, we didn't know when and by how much the stock would rise.
On September 21st, Cephalon rose to an intraday high of $69.30, far exceeding our expectations for the stock in the short term. Because this stock does not pay a dividend we could not make a recommendation of this company as an investment observation. It appears that the speculative observation that we gave was appropriate for the recent moves in the price. However, the stock is now approaching the 52-week low again. 
Below are the revised figures for the Dow Theory downside targets (since the upside takes care of itself):
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$40
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$31.66
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$14.40
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$6
For the reasons above, we highly recommend that you re-consider the article written on August 27th. With a $4 billion market cap, this stock should be among your choices of new speculative opportunities. Art and Touc.