re: buying, selling?
I certainly wouldn't be buying here, but that's just my style, I never chase stocks, I try to buy the bottom, a lot of successful investors buy the breakout.
This is looking like a breakout. Until the last couple of days, I would have said we'd be in a bottoming range, retesting the lows several times over several months, we still had several false rallies in front of us. Less sure of that, now.
Should ST traders should take profits here, at 16?. We are above the April lows, and closing in on the August highs. On good volume, which is bullish. If we break above the August highs, then there isn't any resistance, till we hit the 200 day moving average (near the May highs, the high 20s). I doubt we get there, but who knows. This rally is too far, too fast, even for a stock as volatile as NTAP. At some point, there has to be a pullback, at least temporarily giving back 33%-50% of this rally.
For someone trying to establish a LT position, who doesn't yet have a full position, whether to buy now is a difficult question. Me, I'd probably wait for a pullback. Or be content with what I already have. I certainly wouldn't establish any LT position at prices above 20; at those prices, the rosiest possible next-12M-scenario is being priced in, and any surprise is likely to be of the unpleasant kind.
FWIW, I have no limit sell or buy orders for NTAP now. I'm just holding and watching, with a big smile on my face. |
