Hi Bob and Carol (and Ted and Alice, if you're out there):
Just to set the record straight regarding my 'troublesome gap' call... perhaps the only time I've been right, or, as Bob put it: <<One last thing to look for :when Roy says there is a gap - you can bet the price of the stock will go there - certainly after my rantings of him pointing it out.>> (Thanks, Bob)
As you can see from the chart, I was right... once:
askresearch.com
Resistance, as Bob has pointed out, is at the $8 area. The 50dma has crossed the 200dma to the upside, which is usually quite positive. I would surmise that the 50dma would be a pretty good level of support, perhaps even higher. If you were to look at the money flow indicator at the bottom, you might surmise that the money flow doesn't reverse until it bottoms in the ~20 area, and this oft times signals a move in the stock price. Currently the indicator is in a downward mode and, if it continues at its current rate, should reach the 20 area in a week or so... right about the time earnings for the latest period are due... hmmm.
Usually the earnings announcement is accompanied by some press to add a little punch to the event... in the past, often the only punch. However expectations for the new business opportunities, coupled with the increased demand for their existing products, could (should?) provide a positive tone to the earnings.
This one moves quickly with only a minor increase in volume, and is definitely news driven. If you've made it this far through my rambling babble, you may have the patience for KVHI. gg
Good Luck,
Roy |
