3SOF

Dear Michael.

On the contrary: I've applauded you!

I really appreciate all the work you put into your posts, and I'm trying to learn from them.

I'm also sitting with GIGM - not happily, but it was actually one I'd have picked myself, even if it had not been mentioned on 3SOF. (Goes to show what a great trader I am! )

It is easy enough to blunder into a stock and buy it. The trick is to know when to sell, as you also said. I usually hold too long, so that the profit dissapears - sometimes I even hold on in the hope that the stock will make a great comeback 

Please continue posting like you have done up till now.

and just to keep the spirits up, here is another applause 

I appreciate your posts regarding GIGM earnings. I could look deep into them too, but I don't want to. Discipline is the most important thing in trading, and when a man breaks a rule or doesn't follow his previously made trading plan, he may get lost in the market ... and that's when losses bite hard.

So, there's not much thinking to do, I'll sell GIGM at today's open.

Sold at 2.10 for a 16% loss. 

Good call. This thing is tanking. Wish i would have sold.

Ditto, Dave. Took your advice and sold after the open....$2.10 stop. Thanks for keeping the "trade" in perspective..s.till a good turnaround story just not too sure of the downside. Should have sold into the pre earnings hype...shoulda would coulda!

hi, David,

What do you think about EBAY short term going?

Hi, David

is agix break up? the chart look good.

Good move, look where support is.

http://tinyurl.com/8zgnr

i picked GIGM too.
bought at $2.18 on average.
took too long to sell and lost too.
i am not sure support is at $2.00.
i don't read TA but here is my reasoning....
during the last quarter, with all the incredible hype for GIGM, I was able to buy several times between $2.03 and $2.10 on slow volume days.

now without the hype (due to the poor Q1 performance) I cannot see how we won't be able to buy GIGM (if u wanted to) at $1.80-$1.99 at some point during the next month before Q2 results are announced.

20 trading days between now and Q2 results announced.  i think there will be plenty of slow volume days between now and then.

after being burned on GIGM I dont know if I would buy it again.  i expect $.01 for earnings 2nd quarter.

-rocket8

Hi Rocket,

I am out of the stock for now as you know but I still keep an eye on the stock.I am not sure whether to buy before or after Q2.

Have you seen that they were added to the naked short list yesterday? http://www.buyins.net/tools/symbol_stats.php?sym=gigm

Mike

Quote from: Michael on August 09, 2005, 02:07:22 AM
Hi Rocket,

I am out of the stock for now as you know but I still keep an eye on the stock.I am not sure whether to buy before or after Q2.

I hadn't looked at the GIGM chart since the earnings disappointment, Mike, until you mentioned it here.  I'm glad that you brought it up again because it helped me to see where I went wrong on this one.

After the bullish Symmetrical Triangle breakout on June 13, the chart looked so good, I hadn't considered the Bear Flag possibility that existed prior to the earnings announcement (see chart below).  We broke below the Bear Flag at 2.25 when earnings came out.  I still can remember the stock trading at the level most of the afternoon, until it really tanked at the close, where I was stopped out (I sold the next morning's open at 2.10).

Given that the break of the Bear Flag put 1.47 IN PLAY, I now can see why 2.00 wasn't support.  Since GIGM has been in an overall uptrend, we might not get the 1.47, but we're now in what looks to be a fractal (repeating pattern) of the larger Bear Flag on the chart.  If we break the current Bear Flag to the downside, that would put about 1.62 IN PLAY, depending on where the break occurs.  1.62 currently is the up trendline from the big Symmetrical Triangle (dark blue up trendline).  1.70 is the 200 DMA, so I think we'll see 1.62-1.70 on a break.

If GIGM can close above the current Bear Flag, I'd rate that neutral at this point, given the overhead resistance from the larger Bear Flag.

QuoteHave you seen that they were added to the naked short list yesterday? http://www.buyins.net/tools/symbol_stats.php?sym=gigm

I can't argue with them.  Shorting the break of the big Bear Flag at 2.25, or near there, looks to have been the right play.  Where the shorts might get into trouble is if GIGM finds support at 1.62-1.70, and they fail to cover.  Or, if GIGM rallies directly from here, obviously.   

As the chart stands,  I think it's likely that we'll see 1.62-1.70.

earnings i figured at 1 cent.
to be announced in august.
this is the worst quarter of the year for GIGM.
yet the stock moves up.
i should note i sold it for a small loss after last quarters gap down after earnings.

Hmmmm.... GIGM on the naked short list and it is up. VPHM off the naked short list and it is down. I have to say that if there is a connection i really like it. Bloody tired of seeing people manipulate share prices.

Long term I am however still a fundamentalist and GIGM have to back up the increase today with some solid growth of their online gaming segment in Q2. I am concerned as Q2 is a seasonal weak quarter and they might disappoint. I think I will wait this one out.

Q2 report expected September 8 BMO.  Anyone going to play this and jump in before earnings?  Last report I held way too long and lost.  The day before the last report was a nice gainer, then a big red stick!  There are only a few trading days before the next report.

Updated chart shows an uptrend from the $1.82 low of late July.  Volume is low.

GigaMedia to Report Second-Quarter 2005 Financial Results on September 8
Thursday September 1, 4:01 am ET

TAIPEI, Taiwan, Sept. 1 /Xinhua-PRNewswire-FirstCall/ -- GigaMedia Limited (''GigaMedia'' or the ''Company'') (Nasdaq: GIGM - News) will report the Company's second-quarter 2005 financial results on Thursday, September 8, 2005 before the market opens.

Management will hold an investor webcast on September 8, 2005 at 8:30 a.m. Eastern Daylight Time, which is 8:30 p.m. Taipei/Hong Kong Time on September 8, 2005, to discuss the Company's second-quarter performance.

i wont touch it.
that means u should buy and it will go up. 

i was very disappointed by their last earnings and i was in big.
i lost about 5% on it.
but days before i was up big as it climbed each day.
i should have sold and now i wonder why i went thru earnings with shares.
i was just so convinced they would do 3 cents+

this quarter i expect 1 cent a share in earnings but of course they could lose $.

maybe they will announce they sold the music division or something good.  who knows.

there is too little visibility on GIGM for me. 

-rocket8