GIGM - Sector: Technology---Industry: Multimedia & Graphics Software

[Ramsburg]

Here's a little technical update for GIGM:
Finally a breakout above the $12.82 resistance level !
GIGM is now back on track from a technical point of view, trading above some important levels, It busted the descending resistance line and the $12.82 horizontal reference, and it's above the ema-50 and ema-200. I see only $13.79 as the next resistance level, and for the downside the previous break zones as supports.

Portfolio Instructions:
Hold GIGM

Best regards,

[Ramsburg]

Chart Update:
A little upside continuation since yesterday's breakout, GIGM reached a new high for this pullback, but still below the $13.79 resistance.

Portfolio Instructions:
Hold GIGM

Regards,

[Ramsburg]

Chart update:
A step back to the first short term support.

Portfolio Instructions:
Hold GIGM

Regards,

[joet]

i stopped out this short today at 13.06, 6% loss   

Still feel that the markets will sell the fed news next week, but i kicked myself last week when I did not honor my 13.00 stop as per my plan, so I did so today
the 200ma's are still rising..  perhaps i will join you long if we get a dip
cheers
joe

I hope that GIGM gets some vol for the longs here!

[mitchjas]

I hope that GIGM gets some vol for the longs here!

I hope we get more volume also.  I am still holding my initial position that I bought a few weeks ago.  However, in fact, my only slight concern has been a potential ascending wedge pattern forming.  This is usually a bearish pattern when in an uptrend and characterized by reducing volume.  You could almost make an argument about that pattern forming here similar to what I pasted in the attached chart.  However, I think GIGM is really just in a sustained uptrend that will keep making new highs and the volume will eventually follow.  I think this is the most likely scenario because the fundamentals support this stock so well now, and because it tests the moving averages often and rebounds off daily lows.  Basically I think GIGM has broken through the 200 SMA and continues up with daily support at the 9 SMA all during shaky market times.   In any case, I would really like to see 1.3 Million plus volume days to help confirm a healthy uptrend.

I'm looking forward to new highs!   

[joet]

Yes I believe that your pattern would be a Bear Flag (?)  Melf Elf had a lot to say about the Flag patterns, we miss him (did you ever read his posts?)  Anyway, I see Gigm going with the Markets, despite its strong numbers if the market sells last weeks gains i believe the Bear Flag will hav been the call

I am currently OUT of GIGM  But may buy in if we get a strong volume day
cheers joe

[mitchjas]

Yes I did read Melf's posts and found them very thorough.  I miss his posts also.  What happend to him??

If GIGM does correct with the market I may add more.  As I've stated before, I believe at least the medium term fundamentals are great with this company.   

Jason

[mitchjas]

Decent day for GIGM.  I'll take 3%.  My only (slight) concern which I've pointed out in a previous post is the possible ascending wedge or "bear flag" which would indicate a future correction.  But, as fous pointed out over on TTT.net, maybe this 3 week pattern is just a rising channel.  I like that scenario better as it may be a little safer with luke warm volume like we've had.  I'd still like to see 1.3 million + volume on the ascent.   

Also looks like the 20 SMA is racing up to cross the 200 soon and the 50 is beginning to turn up and maybe within a week may cross above the 200.  That will certainly help to have some MA's to help technically.   

[David Randolph]

As expected GIGM completelly recovered from that horrible phase 2 on the chart below. I say "horrible" not because of the magnitude of the decline, but because of its main cause: misinformation from the financial press.

I guess if I were to break my rule of never averaging down, GIGM would have to be bought on that dip below $10. But I've long ago learned that rules can't be broken, if one intends to prosper in this business.

Now that GIGM recovered phase 2, I expect it to keep pushing higher and recover phase 1, breaking out above the $16.42 high before year's end.

Fundamentally things can only get (even) better. Here's what the CEO said about the second half of 2007:

''Second-quarter was another record for GigaMedia, with outstanding performance in every business unit,'' stated Chief Executive Officer Arthur Wang. ''More important, we expect even stronger growth in the second half and excellent momentum into 2008.''

Watch the words ... it's not a "stronger 2nd half", but "even stronger growth" in the 2nd half. Better is good, but getting better at a faster rate ... is even better

I'll hold GIGM for the long term.

[BigSully1]

Appreciated and applaud, N1notesguy.

[Garoh]

As expected GIGM completelly recovered from that horrible phase 2 on the chart below. I say "horrible" not because of the magnitude of the decline, but because of its main cause: misinformation from the financial press.

I guess if I were to break my rule of never averaging down, GIGM would have to be bought on that dip below $10. But I've long ago learned that rules can't be broken, if one intends to prosper in this business.

Now that GIGM recovered phase 2, I expect it to keep pushing higher and recover phase 1, breaking out above the $16.42 high before year's end.

Fundamentally things can only get (even) better. Here's what the CEO said about the second half of 2007:

''Second-quarter was another record for GigaMedia, with outstanding performance in every business unit,'' stated Chief Executive Officer Arthur Wang. ''More important, we expect even stronger growth in the second half and excellent momentum into 2008.''

Watch the words ... it's not a "stronger 2nd half", but "even stronger growth" in the 2nd half. Better is good, but getting better at a faster rate ... is even better

I'll hold GIGM for the long term.

Hi David
Yes this stock looks great now ...$16 is next stop very soon   

[JKN]

Showing some REAL strength in the face of an ugly Friday.  Solid pick !

Kent

[David Randolph]

Showing some REAL strength in the face of an ugly Friday.  Solid pick !

Kent

Yep Kent, GIGM is solid as a rock

And my hands, after having a 30% or so gain and a 30% or so loss, and having held through all this process, couldn't be stronger either. I certainly expect GIGM to close 2007 above $16.42, which was the previous high. 

I'll keep holding GIGM for the long term.

[setravis]

A Top Growth Stock...JMHO of course !
She is looking good.


Technicals
Percentage Gainer

Last Price Quote is:
13.29%above 13-day MA
20.01%above 50-day MA
RS Rating: 1 

Fundamentals
Key Data:
Market Cap (M): $783.08 
P/E Ratio: 25.39 
PEG Ratio: 0.57 
Next Earnings: 11/08/2007
Last Analyst Rating: Buy

[David Randolph]

Another day of strong bullishness for GIGM. The stock is almost done recovering from the phase 1 decline, which only happened because of misinformation, with Reuters interpreting "minor growth rate" as "outright sequential decline".

Of course no stock goes up in a straight line, so there will be pullbacks and technical reactions, but certainly fundamentals warrant a much higher share price for GIGM. I'll keep holding.