3SOF

Profile: Nu Horizons Electronics Corp. distributes semiconductor and passive electronic components to various commercial original equipment manufacturers and electronic manufacturing services providers. Its semiconductor products include memory chips; microprocessors; digital and linear circuits; microwave, radio frequency, and fiber-optic components; and transistors and diodes. The company's passive components consist of a line of chip and leaded components, including capacitors, resistors, and related networks.
Website: http://www.nuhorizons.com
Market Cap: 231M

Trading Idea:
NUHC showed up on our filters last month as a short term momentum mover with increasing volume. The stock had a quick consolidation period and last Friday it experienced another breakout to a new 52 weeks high, volume was the stronger since this bull move began, and momentum is now on fire:

Short Term Chart:


Looking to the long term chart, NUHC is breaking out a very important resistance ($12.50), volume is high enough to make this a serious breakout.

Long Term Chart:


The fundamentals are getting better and better over the time, making NUHC to look cheap and with quite of upside potential.

Revenues Trend:


Earnings Trend:


Trading Plan:
Timing may not be perfect right now, but we really want to hold NUHC on the 3SOF portfolio right now, so we'll buy NUHC today at or near the open. We'll probably use the ascending support as a stop level (we'll post the stop level on the next update).

Best regards,

Update:
NUHC is retesting the breakout level ($12.50); the ascending support is located at $11.60, so we'll wait with a stop in place.

Trading Plan:
Hold NUHC with a stop @ $11.40

Regards,

Update:
NUHC had a solid session yesterday, showing a lot of strength against a neutral market with no news in particular. Volume was amazing (the bigger since this bull run), and NUHC just performed a new 52 weeks high...
Something is very bullish about this stock... lets hold it

Trading Plan:
Hold NUHC with a stop @ $11.40

Regards,

Update:
NUHC had quite a volatile session, but closed up above $13 showing strength again, volume was high again. This candle suggests that some consolidation maybe needed at this stage.
Our trading plan fits with this scenario, so we'll wait.

Trading Plan:
Hold NUHC with a stop @ $11.40

Regards,

Update:
NUHC is still consolidating the recent high prices, the ascending support is now located at $12.20, we'll keep the same plan for now.

Trading Plan:
Hold NUHC with a stop @ $11.40

Regards,

Update:
A correctional sell off after the breakout candle, NUHC is just doing the usual... Despite today's candle our expectations remain optimistic for NUHC and its technical overview.
Taking in consideration the recent price development to the upside, and the ascending support line its time to upgrade our stop on this one, so the new trading plan is:

Trading Plan:
Hold NUHC with a stop @ $12.00

Regards,

Update:
NUHC is still working according to its technical pattern behaviour. Friday's intraday session was interesting showing some signs of upside strength. We won't change the trading plan yet.

Trading Plan:
Hold NUHC with a stop @ $12.00

Regards,

Update:
Some interesting news today:
Xilinx, Inc. Expands Partnership Agreement with Nu Horizons Electronics Corp. to the United Kingdom and Ireland

Technically, NUHC is still trading its ascending pattern, the chart looks bullish, having some breakouts and consolidation ranges. We'll keep the same plan:

Trading Plan:
Hold NUHC with a stop @ $12.00

Regards,

Update:
There has been some price deterioration over the last few sessions, NUHC lost some momentum and touched the ascending support line. The main ascending channel is still working, and we expect NUHC to react to the upside soon, otherwise we have our stop in place @ $12.00.

Trading Plan:
Hold NUHC with a stop @ $12.00

Regards,