3SOF

Sure, here's the update on MSPD 

The $1.81 resistance level is probably going to break, but not without a fight as we saw yesterday. This still isn't the update where I'll go deep into the financials of this company, but just reading the last earnings report you get a good feeling about the turnaround in fundamentals that's taking place at MSPD.

If we get a close above $1.81, as I expect, the sky will clear for MSPD and a short term run to $2.14 will be granted. But then we'll see, the stock still needs to break $1.81, yesterday's session, with a recovery from the lows of the day was a good sign.

I bought in today at 1.66 thru  1.68...  I like the chart. The Elec-Semiconductor Mfg sector is in favor with investors, always a big positive. Cash flow turning positive. 2 Year High over $10. Institutions have been adding to positions. All a good sign!  We have a few more consolidation days and looking to see the uptrend continue.


We shall see!!!!

In this AM at 1.68 for 4,000 shares. - should have waited till after lunch 

I'm hoping to make enough to buy admitance to David's board for a few months 

This is beginning to hurt. Under $1.60 I might have to exercise my mental stop.
Nothing wrong with this stock.Its just kind of risky buying at resistence and hoping it goes through it like I did.

Often the low volume pullbacks will revers near the 9-day EMA

This one is at $1.57 so if it gets there may be a good point to buy - watch for it black line

In general I don't like to buy break-out.

Instead, buying pull back at key support level is what I prefer.

VPHM ($9., BCON, RITA ($3.30), ELN ($8.20), CTTY ($9.00) etc are the ones bought at the right time and at the right price (key support level).

For break-out buy, once the price did not act as expected, exit quickly with small loss and re-enter it later on pull back. Otherwise, you have to take the pain even in short term for the losses.

Thanks for your posts 

I wasn't expecting this sell off on MDSP.

MindSpeed is such a beautiful name for a company to have that I'm starting to wonder about Peter Lynch's theory of not buying stocks with attractive names, instead look for company's with horrible names, that's where you'll find the bargains 

I was going to study the fundamentals of the company a bit deeply, but with this ugly reaction I won't do it anymore. You see, I'm a dangerous kind of trader, an idealist. To know the markets you need to know yourself, and sometimes protect your portfolio from yourself like it is needed now.

Suppose I read the financials of the company and find them terrific. Then it would be harder to sell at a reasonable loss if the stock turns south like it's turning, right? I prefer not to know, because one never knows, the reports and news might be great, but behind the scenes, at this time, bad things can be happening with the company and there's no way of knowing it, only in the next quarterly result presentation.

That's why there's only one thing I trust in the market: the market itself. The market always knows better and he's always right.

Ok, coming back to MSPD, this short term bearish move can be just a pullback to the original descending trendline breakout. But I'm afraid it isn't, I'm afraid my loss widens. I see a support just beneath today's close, which is $1.54. I don't want to see MSPD closing below that level or I'll be forced to sell. That would mean the $1.81 resistance level was more important than the descending trendline (though this was more subtle, and those usually are the most significant).

Thinking like this, I trust the market but I'm in control of the situation. I am able to stop playing when I please. I only play to win, so when losing, I walk away ... courage doesn't pay in the stock market, and besides, it takes a lot more courage and confidence to sell at a loss than to hold one.

Enough said, if the stock is set to close below $1.54 tomorrow I'll sell without hesitation, I hope the stock rebounds from this pullback to the descending trendline.

I have a 13dma of 1.51 and 50dma of 1.31. The last time the shareprice dipped under the 13dma it popped in two days to the 1.85 level. For it to hit the 13dma would require another down day giving us three in a row. It will either level off there and prepare for another jump continuing its uptrend or get caught consolidating for a longer period of time. Of course the worse case scenario is it will continue to dip on down through the 50dma, which for me is a no brainer. I do not anticipate this happening based on its recent behavior confirming an uptrend along with good fundamental changes in the company and  also the fact the company is in a hot sector.

I plan to hold if it drops through the 13dma,  double down, and see if we are due for another pop over the next couple of days, then make my call. I got in at a lower price than some so i can afford to wait this out a bit.

We shall see!!!!

Quote from: aitech61 on August 18, 2005, 11:08:07 PM
I have a 13dma of 1.51 and 50dma of 1.31. The last time the shareprice dipped under the 13dma it popped in two days to the 1.85 level. For it to hit the 13dma would require another down day giving us three in a row. It will either level off there and prepare for another jump continuing its uptrend or get caught consolidating for a longer period of time. Of course the worse case scenario is it will continue to dip on down through the 50dma, which for me is a no brainer. I do not anticipate this happening based on its recent behavior confirming an uptrend along with good fundamental changes in the company and  also the fact the company is in a hot sector.

I plan to hold if it drops through the 13dma,  double down, and see if we are due for another pop over the next couple of days, then make my call. I got in at a lower price than some so i can afford to wait this out a bit.

We shall see!!!!

another downday would point us to a Matt Hold pattern IMHO.. (bullish pattern)
So i don't mind another down day (at least it is followed by a nice white candle on monday)

http://www.hotcandlestick.com/directory/Bullish%20Mat%20Hold.htm


This time I will  stick to my plan

QuoteOk, coming back to MSPD, this short term bearish move can be just a pullback to the original descending trendline breakout. But I'm afraid it isn't, I'm afraid my loss widens. I see a support just beneath today's close, which is $1.54. I don't want to see MSPD closing below that level or I'll be forced to sell. That would mean the $1.81 resistance level was more important than the descending trendline (though this was more subtle, and those usually are the most significant).

MSPD reacted well to the retest to the descending trendline, with a 4.4% rise on Friday. Now the stock needs to runaway on the upside, because this support is no good, since it goes down a bit everyday. Support could never be broken and an investor in MSPD could keep on losing more and more money. So it's not wise to trust on descending support lines.

Considering this, my threshold needs to be an horizontal support ($1.54), and I use the descending trendline just for indications, not for a hold/sell decision making process.

The game is simple for MSPD: decisively break the $1.81 resistance level, or instead break the $1.54 horizontal support level. I'll hold as long as the stock closes above $1.54 and hope it eventually breaks $1.81 on the upside.

The entry was good as it bounced right at 9-day -- but the volume was tiny. The NASDAQ volume though was the lowest of the year. This stock has a history of consolidating many days on low volume before another volume surge.

The 9-day EMA is rising so it could be used as a stop to keep at least a gain.

Quote from: metro on August 22, 2005, 05:12:56 AM
The entry was good as it bounced right at 9-day -- but the volume was tiny. The NASDAQ volume though was the lowest of the year. This stock has a history of consolidating many days on low volume before another volume surge.

The 9-day EMA is rising so it could be used as a stop to keep at least a gain.

If you look at it as a retracement/consolidation towards the opening of the big white candle.. (like it did before) than the volume was good. It's drying out.. like it has to in this pattern

I've enjoyed the volume increase yesterday on MSPD, although the candlestick was an undecided doji.

My business with MSPD is to wait for it to decide which way to go. The lower boundary is $1.54, the higher boundary is $1.81. The stock closed at $1.65 yesterday, so it's halfway either way. What's it going to be?

MSPD, with all it's MindSpeed, is the one who has the answer. I'm just a little fish in a shoal following all the other small fishes looking for food. I have no power over the ocean or predators.

We got no decision from MSPD, closing unchanged. No decision, no action, just keep the plan.

FYI:

Mindspeed(R) and LynuxWorks(TM) Announce LynxOS(R) Support for Comcerto(TM) VoIP Processors; LynxOS Enables Mindspeed's Comcerto Enterprise VoIP Customers to Develop Deterministic and Scalable Real-Time Applications
Tuesday , August 23, 2005 08:30 ET

NEWPORT BEACH, Calif., Aug 23, 2005 (BUSINESS WIRE) ---Mindspeed Technologies Inc. (NASDAQ:MSPD), a leading supplier of semiconductor solutions for network infrastructure applications, and LynuxWorks Inc., a world leader in the embedded software market, today announced LynxOS(R) real-time operating system (RTOS) support for Mindspeed's Comcerto enterprise voice-over-IP (VoIP) processors.

Combined with Mindspeed's Comcerto VoIP processing solutions, LynxOS enables enterprise equipment manufacturers to design sophisticated real-time applications. LynxOS conforms to open standards including Linux(R), POSIX(R) and UNIX(R), and meets the stringent requirements for real-time, mission-critical applications while offering the time-to-market and investment-protection advantages of open standards-based development. LynxOS is designed for absolute determinism scalability, and predictable response for the most complex networking applications.

"We are excited to add LynxOS support for Mindspeed's Comcerto enterprise VoIP processors," said Dr. Inder Singh, chairman and CEO of LynuxWorks. "Combining the world's most powerful, open-standards RTOS with Mindspeed's complete system-on-chip voice processing solution will enable equipment customers to efficiently design high-performance voice systems and get them to market quickly."

"We are pleased to extend our relationship with LynuxWorks, which has proven the value of its robust operating system, BSP and tool chains to our mutual customers," said Steve McClure, executive director of marketing for Mindspeed. "Mindspeed's Comcerto processor architecture, combined with the benefits and experience that LynuxWorks brings, enables our customers to develop deterministic and scalable real-time applications while accelerating time to market."

Mindspeed's Comcerto architecture is optimized for VoIP applications with separate signal and packet processors. It integrates high-performance DSP cores and a packet-processing engine with industry-standard streaming packet interfaces to provide a high-density VoIP and voice-over-ATM system on a single chip.

Comcerto processors can also be combined with other open-source software applications to provide developers with an embedded platform for creating a wide variety of new services and capabilities.