mike....dell price action/volume
any stock trading a 3/4 range with 90m+ volume indicates lack of momentum. dell in spite of exemplary earnings will not take off, or leave the station as many think. you had massive supply in the under 40 range since february...now massive supply accumulating in the under 45 range. dell, unless emotional momentum sets in, will begin to range trade 40-45, if strong volume breakout above 45, 48 will provide resistance. 50 possible by year end......in spite of the cheerleading and the great business model, dell must learn to manage the market and its expectations......being the best pc seller,used equipment auctions,internet service, etc. doesn't seem to be impressing the market........if it did, 90m shares would have blown through any resistance at this level..........just my opinion, maybe the dell zealots can give a more rational explanation as to why the price action/volume not too encouraging......dell the company not dell the stock......it's all about "perception"..... remember, it took blow out earnings to bring it back to feb 17 sell off levels |
