3SOF

I got out little early but I didnt want to risk a bounce afer the FED meeting.

The Stock That Wouldn't Die....It's Baaa-aack... 

I'm real tempted to short it here at 5.86, at the top of the January channel, and also the 50DMA, but I'll think it over.  Possible rally tomorrow to the gap.  Volume is 2X average 100 day.

I will keep my eye on BRCD as well. Looks like a tasty short in the low 6.00s. I doubt BRCD has enough steam to make its way past 6.50.

Quote from: nullzero on August 24, 2006, 12:53:56 AM
I will keep my eye on BRCD as well. Looks like a tasty short in the low 6.00s.

nullz,

That's what I'm thinking.  The low of the white candle, prior to the gap down, was 6.05, so a print of 6.04, some might consider that gap to be filled.  The low and the close of the candle the day before the gap down were 6.10 and 6.14, respectively.


So, maybe somewhere in that 6.04-6.14 area. 

Quote
I doubt BRCD has enough steam to make its way past 6.50.

Right.  The recent highs were 6.40 and 6.45.  I wouldn't think so either, but I also don't want to get caught in a parabolic short squeeze, ala ZMH and AAPL.

In the Battle of the Dueling Channels (red and blue)...

 

... BRCD closed above the bottom rail of the red one, above the top of the blue one, and also above the 50 DMA (by a penny).  Volume was good on the rally yesterday.  Probably a lot of it on short covering.   The strong close looks like it might have some more upside in it, which is why I didn't want to short 5.86.

We'll watch it.

I have to check to see if they've reported earnings yet.  Last report was May 18 or 19, so they are due in this time-frame.  I don't want to do anything ahead of earnings if they haven't reported.

BRCD reported Aug. 17th.

SAN FRANCISCO (MarketWatch) -- Brocade Communications Systems Inc. after Thursday's closing bell reported third-quarter net earnings of $24.5 million, or 9 cents a share, boosted by a higher gross margin and strong sales. In the same period last year, the San Jose-Calif.-based company posted a net loss of $7.24 million, or 3 cents a share. Excluding stock-based compensation, among other items, Brocade reported per-share earnings of 11 cents vs. 1 cent last year. Analysts polled by Thomson First Call had expected per-share earnings of 9 cents. Quarterly revenue rose 55% to $188.9 million from $122.3 million. Analysts had forecast revenue of $185 million. End of Story

Quote from: nutsterrt on August 24, 2006, 09:42:20 AM
BRCD reported Aug. 17th.

Thanks for that information, nutsterrt.  Appreciate the help. Applause.

No problem. I look forward to hearing your next move 

Quote from: nutsterrt on August 24, 2006, 10:40:29 AM
No problem. I look forward to hearing your next move 

nutsterrt,

I hope that they're going to get rid of that bad tick of 6.06 at 1:22PM.  That's going to look like a gap fill, but it wasn't.

1:22PM Open 5.94...High 6.06...Low  5.94...Close 5.94.  Huh? 

The high on the day, so far, should be 5.96.

BRCD short is looking good at these levels. Im watching it closely 6.20-6.40 range looks like a nice entry for a short. If the NAZ has some downside a short at those levels can become nice +5%-10% profit.

  getting ripe for another short!!  Seven days up in a row!  Filled the Gap, WHY?

But wait... read news.. merger hapening with MCDT?  thoughts on how this will effect BRCD?

If it hits the 6.40's with out a down day I will try to short for a quick trade, covering if it breaks through 6.45 resistance and out of Channel to close above 6.55

Cheers Joe

Today looks like a tasty short im almost ready to pull the trigger.

joe and nullz,

Having just been squeezed on LRCX, I'll give my ribs a rest and pass on this one. 

FWIW, I have the top of the channel at 6.6244 for today.  Good luck.

Thanx Melf
I will keep watching, BRCD sure looks strong, there must be new comming and i do hope to catch a short when it sells that news.

Cheers Joe
PS take a look at KFX top of channel may break up and try 18 to new highs again

Quote from: Melf Elf on August 30, 2006, 01:57:25 PM
joe and nullz,

Having just been squeezed on LRCX, I'll give my ribs a rest and pass on this one. 

I would have been squeezed again on this one. 

Quote from: joet on August 31, 2006, 02:48:48 AM
Thanx Melf
I will keep watching, BRCD sure looks strong, there must be new comming and i do hope to catch a short when it sells that news.

Joe,

Yes, it sure did look strong, rallying parabolically almost all the way back to 6.45 (it got to 6.44), selling off and holding above its 50DMA, then continuing to rally.

Seldom is a stock that gaps down like BRCD did on August 8 a "buy," but it was.  The fundamentals (news) had trumped the good technicals.  The 50DMA was above the 200DMA, and BRCD was trading above them.  The pattern, before the gap down, looked like it was a consolidation of the 112% gain off the November low, and it looked to me like The Bulls were favored.

Not so, on the gap down, but BRCD has come back, and has taken out both channels.  Very unusual to see a stock do this after a big gap down, especially to see it recover this quickly.

Sure glad thaat i only paper traded this one, sell at 6.45 would have covered at 6.55 w/ a loss

but what is driving it, it sure looks strong, Any still see a reason to short it here besides the RSI being so high.  Something big must be brewing so I will stay on hte sidelines.

Anyone notice the KFX crash?  I had gone long at the bottom of the channel around 13.50 and was happy for 2 days as it went over 14 only to go to 11 in less than an hour on huge volume, I ate my loss quickly aroung 12 figuring that kind of volume must mean some big players wanted out and they must have a reason unknown to us retailes yet...  Will see where KFX goes.