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

[SmartWrasse]

Yes.  Down from 10 to 8.5 in a few days.  Nice.  No shares availble to short in Fido last week either.  Would not like to see it break the 50dma's but has been a violent few days.  I guess the VXN is going to  25   

[Melf Elf]

Nice trade melf elf, I jumped ship to early at 8.90

nullzero,

Great, you made some $$$!!

Yeah, normally you wouldn't cover at 8.90.  Breaking 8.96-9.06 support was a SCORE for the Bears, so you wouldn't cover so close to the successful break of support.  That would be like selling a stock right after it broke out to the upside.  A breakout in either direction is what we're wanting, so we wouldn't sell (or in this case, cover) right afterwards.

That's fine, though.  You were in a difficult position with your entry (standing in the middle of the key  ), and you didn't want it coming back in your face.  And, I understand that it difficult at first, thinking "upside down" on a short postion.

No shares availble to short in Fido last week either.

That's hard to understand since only ½% of the float in GIGM was short in mid-April.  Even if the short interest is up a lot in May, it still shouldn't be that difficult to short it.  When I shorted CKCM on earnings, 40% of the float was short, but I had no problem shorting it. 

GIGM's float is four times that of CKCM's.  Why are there so many brokers who won't allow a short in GIGM?  That makes me suspicious, but then everything about the market makes me suspicious.

 

[Melf Elf]

The Bears not only scored near the open, taking out 8.96-9.06 support, they scored again in just two hours: The 8.40 Gap Target MADE.

I don't see any news, so I guess the weakness that we were seeing as of Friday's close simply is playing out.  Weak technicals, and weak response to the fundamentals:

1. Did the Bearish Wedge break to the downside? Yes. On Wednesday.

2. Did the second rally attempt to get back inside the Bearish Wedge fail? Yes, it failed at 10.27.

3. Did it close again, below the Bearish Rising Wedge? Yes. On Thursday.

4. Was the H&S Top in the 13/21RSI confirmed, by price moving down? Yes. Today.

5. Did the stock go down when MACD crossed below its signal line? Yes. Today.

6. Did the stock react well to great earnings? No.  That was the top, so far.

7. Did the stock react well to the analyst upgrade that Oliver posted? No.

8. Did the stock react well to the sale of the ADSL business? No.

9. Did the stock bounce today, off the bullish synchronicity in the 34/55 RSI? No.

10. Did the stock bounce today, in an overall up market.  No.

[Melf Elf]

The 8.14 low here is within four cents of the 8.10 Bearish Wedge target being MADE, so if anyone still  is short and hasn't covered, the Bears have scored three times today, so you might want at least to take some.   Math is on the chart. 

[Lucas Scott]

Another basketball analogy. GIGM looks like Kobe Bryant did in the second half of Game 7 against the Suns.

Is 3SOV riding their position with no stop?

[alien41]

Well Melf Elf it appears the Bears were unstoppable today.  I got taken out of the game early on.  I guess I'll be sitting on the sidelines until the coach or the chart/market says it's okay to get back into the game.  I'm guessing there still may be some down side to this play.  Any thoughts would be greatly appreciated.  I see the 50dma is sitting at 7.35. 

Lucas I believe the 3SOV had a stop loss at 8.00.  So I believe the position was closed today.

GLTA....Alien

[ScottishTrader]

Melf,

Thanks very much for your advice yesterday, ubfortunately I wasn't really given much chance in the matter.  As ever I hung on a little too long today, looking for support to kick in and a potential bounce, but when 8.40 broke, the game was up so to speak and I closed my long position.  Good play on your short, at least you made some on what i lost

This nasty market is really forcing me to have another think about what I'm doing and how I've been trading lately as I have been down a lot in recent weeks, despite some gains (like in gigm).  Ugh.  maybe I need to get a margin account so I cna get in on the shorting - looks to bbe just about the only way anyone is making money right now - I mean just look at the stock picking contest!!!

Anyway,  I do think GIGM will gather steam once again, but am not putting any estimate on when or at  what level we may get a buy signal.  50DMA may be a good starting point, but in this weakness a breakdown into the 7s looks pretty likely.

Anyway, cheers for now,

the Scotsman

[Melf Elf]

Well Melf Elf it appears the Bears were unstoppable today.  >

alien,

TRULY unstoppdabe.  I never got a chance to re-enter, short.  THREE touchdowns; straight down.

WHOA!! 

I got taken out of the game early on.  I guess I'll be sitting on the sidelines until the coach or the chart/market says it's okay to get back into the game

Aw-w=w, CRAP! (We need a "Cursing Face" on the toolbar that is inaubile, so that no one's sensitives are offended)

I'm guessing there still may be some down side to this play.

Yeah, "could be," but I don't like to guess.  I like to play the patterns and the targets.

Any thoughts would be greatly appreciated.

ALL 3 downside targets MADE today. THREE touchdowns.  Very unusual, in just one day.  Victory to the Bears, no question.

I see the 50dma is sitting at 7.35.

Yeah, but I'm no help at all to you with that.  "Maybe."  "Maybe not."  My THREE  downside targets MADE, so I'm done.  I'd only be guessing what's in store from here.  I haven't got any more downside targets IN PLAY. 

Melf,

Thanks very much for your advice yesterday, ubfortunately I wasn't really given much chance in the matter. As ever I hung on a little too long today, looking for support to kick in and a potential bounce, but when 8.40 broke, the game was up so to speak and I closed my long position. Good play on your short, at least you made some on what i lost

Scotsman,

Awww-ww, CRAP.  You still have a very nice gain, though.  Good for you!

[eliteG]

Excellent move for shorts today    congrats!

Great charting Melf!    You da man ..Elf!

[la-onda]

are "we" still holding GIGM for long term?
What exactly is the TA stop?
tia
Oliver

[ScottishTrader]

Seems remenisciently similar to what NXXI just did.  Might be worth looking for a basing day or two before it rebounds up to the 9.00 level on a relief rally.

[Michael]

Hi Oliver,

GIGM was sold yesterday at 8.00 according to the trading plan. It is really sad to let such a great company go but preservation of wealth have to take priority especially in a bearish market like this.

We will be back when GIGM start showing strength again. The potential is still there!

[Amarens]

Wow, what a days at the exchange. Was in Barcelona (great city) for a long weekend. Got stopped out on Friday on GiGM at $ 9,83. Nice gain for the second time  and the only one Really got crushed on some other ones, trusting on the bulls a bid (being in Spain and all  ), but they didn't.

Well trip was great, GIGM was great and paid for it more than  .

Now I'll have to do some cleaning up in my portfolio and take some losses  Bummer, but that's the way it goes if you can't live up to the plan b/c you're away.

Amarens

[rickjust]

hi,
gigm still in shorters territory even after a bounce to day seem to be giving back it's gains.
maxi

[lbotez]

It's at support. Let's see if it can hold up here.

market is really awful.