I'm not sure either, which is why I started buying at 13. So far, I have 40% of a full position. The recent bottom was close enough to the April low, to count as a double bottom. Tentatively, we are now in a horizontal band, at 12-27, with a double top and a double bottom defining the range. The other possibility is that we are still in the "waterfall" decline, and will go on to much lower lows in the next few months. The longer we stay above 12, the more certain that we are now in a basing pattern. If we retest the lows, in a month or two, and bounce at around the 10-13 level, I will probably buy more OHDAD, especially if I have had the opportunity in the interim to sell my higher-cost LEAPS (I'll sell some when the stock hits 19-20 and 29).
And, yes it will be a long time before NTAP is triple-digits. If they deserve a 30 multiple, then they have to earn $3.33, for the stock to hit 100. When do you think they'll do that? 2010? |
