Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: freeus who wrote (73519)	6/7/2000 9:48:00 PM
From: Ruffian	Respond to of 152472

QCOM projects higher prices ahead: We remain positive on shares of Qualcomm (QCOM) at current level, as the stock is showing signs of going higher. As the chart shows, shares of QCOM fell sharply from $157 to $60 over the past nine-weeks on concerns that China Unicom would not adopt its CDMA technology. Shares sold off on high volume falling to a low of $60 where it stabilized. The decline seemed to have flushed out all the selling, as bargain hunters appear to be stepping in. Now, the stock has a good chance of rebounding due to the following factors: 1) Action was positive in today?s session, as the stock rebounded after forming a base at $67- $70 over the past couple of sessions. 2) The most current decline came on less selling than the first round earlier in June, as indicated by low volume. 3) QCOM made a higher low, first sign of positive technical reading. Other technical indictors such as MACD and Stochastics formed a higher low, indicating less selling pressure. 4) Shares are extremely oversold on a short-and-intermediate-term basis, which could support a rebound. 5) Overall sentiment with respect to tech stocks has improved. Action was positive in NASDAQ in today?s session, as has been the case in recent sessions, NASDAQ closed on a strong note, which could continue ahead. NASDAQ is expected to move up to test resistance at 3,960 and if it can close through that level, would have a good chance of moving up to around 4,200. Such a move is bound to lift QCOM with it. Based on those factors, we think, shares of QCOM provide a low risk trading opportunity over the next few weeks with a price objective of $97-$103. While the rebound might be choppy with lots of backing and filling action, shares could eventually reach there. However, if shares were to close below $60, technical picture would turn negative. trading-ideas.com