Under Armour (UAA) (UA) is a potential turnaround stock I have been keeping an eye on every now and then. Clearly it is in a very strong downtrend, and in a rising market this is usually something to avoid. Yet at a certain price practically everything gets attractive, especially if you think you can sell it 100% higher in a short time.

My approach to "bottom fishing" stocks is fairly simple. Fundamentals are bound to still be poor, problems clear to see, but as long as there is no risk of bankruptcy and a potentially solid company, I assume when price is pushed to extreme lows, it will rebound. I therefore set an alert very low at a technical level and if it triggers then I think about buying. Otherwise I just leave the stock well alone. Most of my energy goes on finding strong stocks and sectors.

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