Friday, September 08, 2006

Charts: BWNG and AMD

BWNG (Broadwing) has held up well against recent market pullbacks and could make a run at April highs if it clears $12. I am considering buying now or waiting for the breakout. If I were to buy now, a stop would be placed under the $11-12 congestion zone.

Take a look at the long PBV bar on AMD's chart, which shows up in the $24-26 range. A break down below the PBV bar could put the stock into free fall, as there is not a whole lot of support beneath this point. Also note that Elder's force index is about to cross the zero line. Zero line crosses have proven to be a powerful signal with this stock. I will consider shorting on a breakdown below $24.

No comments: