<please say why, iyo, it will be dramatic and, why must it turn? why not sideways?>
There are two basic reasons: (l) momentum traders and (2) the quality of the stock (as I perceive it).
First, the nature of stock trading has gradually changed in the last couple years: because of the acceptance of technical analysis and a growing short term trading mentalilty. Both large institutions and day traders won't commit to a stock until they perceive that it has bottomed. Of course when they do step in, it naturally follows that the effect will be dramatic.
Second, someone recently said that "everyone loves COMS." There is a lot of truth to this statement. COMS in no way is a Cabletron or even BAY; it is the number 2 networker, it is profitable, almost everyone predicts it will only get more profitable, it has many outstanding products, it is debt-free and has > l$billion in cash, it has a near monopoly in modems and certain NIC cards, etc. As COMS has declined, just look at the interest on this thread. The bottom line is that many people and many institutions are waiting and watching.
The best analogy I can think of is ASND. When COMS turns it will be dramatic. Maybe it is starting today.
Bruce |
