How high can it go before some consolidation? What is the time period for this new high/consolidation process?
That can only be answered accurately by Mr. Market himself. I do not know....
I can only guess
For the moment, it looks LU is breaking out to the upside, under a seemingly favorable market conditions...
But that can change.... look at a chart, (provided you believe in Voodoo), and see that we have "consolidated" since the last "high"...
Theory tells us that after such periods, a break out can be powerful, however, watch intently for a failed brake out as they can be ugly.
Lucent however, is a strong company, new, but old.... its history is only barely 3 years old, however, it has a long history as Bell Labs. It seems to be aggressive, expanding and so on... but nothing is guaranteed, since price action many times does not relate to company behavior, one can be very independent of the other.
If you are planning to get into LU, do so, incrementally, (assuming you have made the decision that LU is for you), then wait for retracements, provided no negative news come its way...
But such decisions are personal.
My opinion is that LU is one of the best run companies, it has expanding markets globally, and it is going after them aggressively, so the initial test is passed under my criteria...
Once in, what I do is sell covered calls against the positions I established, particularly when I believe that it could be overextended, as then chances are that the premiums will be mine without surrendering the stock... but, again, that is a personal decision, and I do not know how comfortable you feel with options etc.
I am new to LU, talk to me!!
Read, read, and read.... both on Lucent's fundamentals and global trends...
Good luck.
p.s. Never listen to the Stock [market] Hens, they are like a soap opera in Russian.... Dramatic to the extreme, and unless you speak Russian, you can never understand the plot. [they are trying to sell].
If you speak Russian, well, imagine they speak a language you do not understand, worse, imagine you are speaking to a bureaucrat.
If you are a bureaucrat... never mind the above...
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