Ed:
I would be very surprised if nxtl breaksdown. I have been watching the tick by tick trades on 1,3, and 5 minute charts for the better part of two weeks. While nxtl has been trading down before todays recovery, I see predominantly green throughout the volume window. Looks like the marketmakers may be keeping the price down until after options expiration.
Today, prior to the close a block of 300,000 shares was sold in the last half hour of trading. The stock retraced to 26.81 and then immediately moved up to close at 27. Unless I am very very wrong, nxtl is fast approaching a breakout point. When this is reached, it should move quickly above 40 and be at or above 46 by summer.
Today, I noticed a white collar worker taking a call on the new 600 unit in midtown, New York. I asked him how he liked it and he could not stop raving about it and that his firm and most of the others he does business with are in the process of replacing their cell phones with nxtl units. I also saw a piece over the newswires that the San Paolo, Brazil system should be up and running by May.
If a breakout is imminent, the week prior to their earnings report will be a good indicator whether the event will occur now or in April with the announcement of the first quarters add ons.
Again, I do not see a breakdown in price unless there is a systemic break in the market.
Ken |
