I've been looking at THQI's chart, and it's very interesting. There seems to be a fractal pattern forming (for all you Fibonaci fans out there). It doesn't look like a double or triple top, nor does it look like a cup and handle formation. The closest typical pattern is an ascending triangle. It seems that THQI peaked at the end of 12/97, pulled back 5 points, peaked again 5 weeks after the first peak, pulled back 2.5 points, peaked again(?) 2.5 weeks after second peak. If this pattern continues, THQI will peak and pull back tomorrow, Friday and Monday to ~$22.75, and it will begin to retest its highs on Tuesday (depending upon when the results are posted- morning or afternoon) The stock will break out following the report, rally a few points, pull back to test $24 as new support, and continue on to rally toward $30 in the next few weeks.
ff8.quote.com
Perhaps the heavy buying today is evidence of an institutional positioning, prior to the report and a possible upgrade/coverage initiation. Maybe Wedbotch has bought back in. www2.quote.com
Todd |
