3SOF

Quote from: ScottishTrader on April 03, 2006, 10:20:26 AM
Looks like GIGM is moving well this morning - profit taking may be done and it should be ready to get stuck into the $6 range 

Hi Scotsman

We couldn't have asked for much more today. The stock is up with more than 10% and finish at HOD under nice volume. This is a great launch pad for tomorrows trading.

There is a good chance that we will breakout of the base already tomorrow which would be a great technical confirmation of the strong fundamentals.

Did get a very nice Breakout from the Symmetrical Triangle,
with follow through.

Volume: 2,251,507
Avg Vol (3m): 1,352,980

Technicals
Percentage Gainer

Last Price Quote is:
16.10%above 13-day EMA
33.97%above 50-day EMA
RS Rating: 6 

Fundamentals
Key Data:
Market Cap (M): $288.61 
P/E Ratio: 56.99 
PEG Ratio: N/A 
Next Earnings: N/A
Last Analyst Rating: N/A

Hi, Setravis

I really appreciate your post.

According to the Good FA and TA of GIGM, What is your expected target?  Thanks

Hi Michael,

WOW, the chart looks great. Is there a target yet?

thanks,
rafael

Rafael:

Think you should read Aussie's info:
http://www.3stocksonfire.org/trading/index.php?topic=1441.msg53834#msg53834

Consolidation after reaching 6.36 and after that...new highs.

jorgegr

Great move today! It confirms that the market agrees the earning report last week was indeed good. I wish I had kept all the shares that I had from last July when it was only $2. GIGM has a long way to go.

Broke through resistance today, but volume not very high.  Should we up the stop on this one?

Quote from: netfishmademerich on April 05, 2006, 04:02:47 PM
Broke through resistance today, but volume not very high. Should we up the stop on this one?

Quote from: mexirafa on April 03, 2006, 10:02:47 PM
Hi Michael,

WOW, the chart looks great. Is there a target yet?

thanks,
rafael

Hmmm.... two posts that touch the most difficult part of investment from different angels.

GIGM is a great investment and the real question is when should we take our profit.

I think we have all seen profit fade away day after day and finally sold when the stock hit our entry price. (or maybe I am the only one!).

In the case of GIGM I prefer not to have a target. This is a company that is undergoing a transformation. They have within 6 month totally changed the business and has come out as a much stronger growth business. The Funtown acquisition adds a mind bubbling potential, which makes any fundamental target pure guesswork. There are as mentioned previously several triggers that can make the stock price increase significantly.

It is however also true that the excitement around stocks like GIGM can evaporate and the believers end-up holding a stock that slowly drift lower.

Instead of setting a target on GIGM we will put a quit tight stop at 5.5. If this target is compromised it will be very damaging from a technical perspective and for those of us who understand the long term potential of GIGM it could signal that we could buy it back at a lower price.

I am travelling in the UK right now so can not post much, but GIGM is acting exactly as the chart and news predicted. My trailing stop sits below the 20ema and previous 52 week high at $5.43. I will up date next week when I get home.

Micheal,

Great pick!  Would you recommend taking a position at this PPS or maybe waiting for a pullback to the ascending trendline, which now sits at 6.20 or so.

GIGM breaking out to new highs this morning, currently sitting at 6.85 - looks like it could get a strong push into $7 this week!!

Go GIGM

What a bloody Tuesday 

It seems like people used the general weakness in the market as an excuse to take profit on GIGM. A down-day in a market like this is not of great concern; the chart still looks strong. This is clearest in the weekly chart:



We had some news out Single-Digit Survivors Become Small Wonders
.

QuoteGigaMedia (GIGM:Nasdaq - commentary - research - Cramer's Take) dropped from $91 to 20 cents during its post-bubble plunge. It just broke out to a five-year high on heavy volume. Unfortunately, the stock is overextended here and could pull back to test support near $5 at any time. But it shows little overhead resistance from current levels until it reaches the August 2000 recovery high over $13. That would be a double from Tuesday's close.

I guess this is a short-term sell and a longterm buy recommendation. We will stick to our plan and keep GIGM unless it hit the stop at 5.5. GIGM can at anytime issue news around:

• Divesting of residential ADSL business
• Agreement with other premier gaming sites to license the Funtown software
• Introduction of real money MahJong gaming

This will hopefully take the stock towards the $13 target.

After such a strong breakout on Monday morning, I really didn't like to see so much given up in the ensuing bloodbath.  However, I agree that a sell at this point would be foolish.

Everything (really almost everything) was down heavily yesterday, and the markets took GIGM down with them.  But support just above 6.00 held.  If this breaks, I would like to see support at 5.60 hold, which would test the March breakout, so I think your stop level is appropriate.  However, it could come back down to test the ascending trendline whiich currently sits at around 5.25.  There are also negative divergences in both MACD and RSI, and the MACD is about to head below its signal line, which could be considered to be bearish.

GIGM really does have too many positives going for it to be pulled much below $6.  However, I have seen too many stocks get taken down lately, despite a very positive outlook, so I think it is important to be wary in case the market really does turn.

Market isn't cooperating, but GIGM is holding it's own. The potential news in the pipeline for GIGM should keep it holding and ready to take out $6.93 high. I have tightened my stops because of the weak general market and signals (e,g, MACD Histo), basically using just below 20ema on daily chart and from a protect profit point of view about 80% of my current gain.

happy easter!

GIGM: ThinkEquity Starts @ Buy; Sets Tgt @ $8.5; Analyst Notes
Wednesday, April 12, 2006 08:38 ET

Issuer: GigaMedia Limited (NasdaqNM: GIGM)

Analyst Firm:  ThinkEquity Partners
Ratings Action: INITIATE
Current Rating: Buy
Target Price Action: INITIATE
Target Price: $8.50
Analyst Comments: The firm believes that Giga can offer significant growth and earnings strength in the next few years.