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To update the $LSCC (Lattice Semiconductor) situation from last Friday, it now appears that the former CEO is going over to $KLIC. More importantly, I am pleased to see that the selling volume today is not heavy. Further, the stock had a precise bounce off of the 50 day moving average.
Thus, I am holding my 1/2 long position in the name. What would make me sell? A close and subsequent hold below the 50 day moving average on accelerating selling volume. I have yet to see that, though. Another option would be to add to my position. In order for me to do that, I need to see aggressive buyers stabilize the stock and bid it up in the coming days. Stay tuned…
What would make you buy SAPE back, impressive rebound and now back over 50dma.
I would be conservative with it b/c the selling volume was so huge. So, I would wait for it to at least recapture $11, and also the 20 day m.a. Again, that is being conservative though bc I am respecting the selling volume post earnings.
LSCC failed to hold above the July 22-23 breakout level of $5.60, and the 50 DMA is now sloping ever so slightly down. Holding stocks that can’t hold their breakout price has almost always cost me, so I try to avoid them like the plague.
That said, I sold out of my position and took a small loss, thus freeing it to reverse and head back up. Good luck.
Good point, but keep in mind this is purely a news driven event, and thus the price is going to jump around a bit. The fact that the 50 day held today (so far) is good enough for me. But, I do see what you’re saying.
Thanks for the feedback and for reading, Todd.
C&W, I used to rationalize price action as “news driven event”, etc… Now it’s all about price & volume action, period. The stock could certainly re-group and simply be forming a deeper handle. If it sets back up I’ll certainly take another look at it.
But since we’re not in a clear runaway bull market I’m less apt to give stocks like this much latitude.
Appreciate your intraday updates.
We don’t disagree. I guess it depends on how you define how much latitude. For me, the 50 day is a tight enough leash where I can get away from it.
Thank you for the update Chess. I’m still holding too. No panic when you have a plan. 🙂
oh, great shout out on OVTI this am.