At the risk of sounding a litte "rah-rah," I think NAVI's time is soon. From long bases emerge powerful moves; the quarter is over; the post "post-earnings-selloff" rally was killed in the cradle by the Meeker flap, then Amazon fears, and the quarter ran out. Some idiots keep thinking they can squeeze a few short teenies out of NAVI; many others, longs, have gotten bored and bailed.
What I saw today - and the last few days - is that every short raid and window-dressing dump which resulted in a downward spike in NAVI was followed by immediate, powerful support - just enough to keep NAVI in the forties. The charts show the buyers stepping to the rescue, every time.
The fact that NAVI reports late in the quarter has delayed its recovery, and prolonged its base. When NAVI last reported - blowout numbers, I need not remind us - the market was waiting to punish her for the "wider losses," as they had been everybody else on the web, even though the seeds of the current bull recovery had been planted. Shorts were very successful selling on everybody's earnings, and their power, and memories of recent gains as NAVI crashed, was overwhelming.
As I write, the last battle has been fought - the shorts beaten back, and strong buyers showed their hand - drew the line in the sand. NAVI has been saved for Q3; a handful of funds have set it up, groomed her like a beauty queen. Q3, they'll send her out onto the runway.
And, we'll cheer.
You read it here first.
Regards,
Jon |
