3SOF

NVTL(nasdaq) - Novatel Wireless Inc.

Mkt Cap:            269.73MM
Float:                548M

Profile:  Novatel Wireless, Inc. provides wireless broadband access solutions for the mobile communications market worldwide. It offers 3G wireless PC card modems, embedded modems, communications software, and fixed-mobile convergence (FMC) solutions. The company's products are designed to operate on wireless networks and provide mobile subscribers with high speed access to corporate, public, and personal information through the Internet and enterprise networks. It also offers software engineering, integration, and design services. Novatel Wireless serves wireless network operators, infrastructure providers, distributors, original equipment manufacturers, and vertical markets. It has strategic relationships with Siemens, Alcatel, Dell, Qualcomm, Sprint PCS, Verizon Wireless, and Vodafone. The company was founded in 1996. It was formerly known as the Personal Communications Products Division (PCP division) of Novatel Communications, Ltd. Novatel Wireless is headquartered in San Diego, California.

Company Website (http://www.novatelwireless.com/)[/url]


What makes this stock a short "On Fire"?

Very weak technical pattern.. indicates trouble in the business and the industry.  Stock has been downgraded 4 times this year. Downgrades (http://finance.yahoo.com/q/ud?s=NVTL)[/url]


Technicals

Daily Short Chart  -
(http://www.3stocksonfire.org/stockcharts/NVTL%2006-27-2006%20001.JPG)

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Possible Targets   -

(http://www.3stocksonfire.org/stockcharts/NVTL%2006-27-2006%20002.JPG)


We will short NVTL on Wednesday 6/28

update NVTL:

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Position: bought NVTL @ 9.10 on 06/28/2006
Order: Hold
Exit: stop @ 9.88
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Correct me if I am wrong, but doesn't it look like NVTL has rebounded on strong volume & price appreciation? 

It appears to be confirmation of a reversal in the downtrend.

Quote from: Loffigus on June 29, 2006, 03:29:04 PM
Correct me if I am wrong, but doesn't it look like NVTL has rebounded on strong volume & price appreciation? 

It appears to be confirmation of a reversal in the downtrend.

A stock can still continue higher without confirmation.. and we dont want to be caught on the wrongside of the market.  ;)  That is why we placed the stop so tight.. it will most likely execute tomorrow.

update NVTL:

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Position: sold short NVTL @ 9.10 on 06/28/2006
Order: Hold
Exit: stop @ 9.88
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