By Steve Brown
This rare stock gained over +3000% at the beginning of the last bull market and it is geared up to rise again in the second half of 2010…
Spurred by a worldwide recovery a need for products used to source, measure, connect, control or converse direct current (DC) or pulsed electrical signals is climbing.
Fresh orders from Asia, the Americas, and Europe will sky rocket this corporation back up the charts.
Keithley Instruments (KEI) looks like a sizzling buy right now for Monday, June 21, 2010 from both a fundamental and technical standpoint.
At a basic level, the corporation trades with a forward PE of 11.5. If you look at the PE on the Tech industry as a whole, most businesses are trading at a PE of 17. But it gets still better!
Sales increased by 25% the most recent quarter YOY.
I too enjoy the press release that Keithley Instruments (KEI) just raised the dividend. Therefore at this time we have a case of a very big boost in sales and the business upping their dividend as a consequence.
On the weekly stock chart there is a enormous Cup and Handle pattern being formed. The cup has by now concluded its shape and the descending move of the handle looks to be done because on the daily chart we witness a Bullish Flag break.
One thing that will really jump out at you on the subject of the weekly chart is the rising volume. Wow! That extraordinary growing volume means that stock traders have just noticed this business.
The daily chart does not include an alligator cross yet of the MAs however the hourly chart does. My wager is that the daily chart will in due course show this cross over the coming days and weeks. On the other hand the daily chart does illustrate something exceptionally bullish, a Bullish Flag break. This Bullish Flag breakout is one of the finest money making chart patterns you will learn for the reason that you are rarely chasing a stock but instead purchasing at a discount. In this case, I wager the Bullish Flag break implies we are at the base of the handle on the larger Cup and Handle formation on the weekly chart.
The hourly chart has the alligator opening his chops on the moving average lines. That is a incredibly bullish pattern I really like to see. However you have to keep your eye on the falling volume. The volume has dropped into the upward move. I think some of this slump in volume can be assigned to the options expiration Friday effect where volume either drops oddly low, or the trading day is incredibly unpredictable. Those seem to be the two actions that occur most repeatedly on an expiration Friday. However, if you plan on buying Monday morning like I do, you will want to exercise caution on your entry.
My strategy for Monday at market open is to watch for good volume and buying. If I see it, I’m instantly in and I will let the chips fall where they may. If the Monday at market open volume is neutral and I see dumping, I’ll pull up a real time minute by minute chart and time my entry after the sell off has finished.
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Topics: Investing | Comments Off
MLA Style Citation:
Brown, Steve "Keithley Instruments (KEI): Put This Promising Tech Stock On Your Watch List." Keithley Instruments (KEI): Put This Promising Tech Stock On Your Watch List. 27 Jun. 2010. uberarticles.com. 3 Aug 2014 <http://uberarticles.com/finance/investing/keithley-instruments-kei-put-this-promising-tech-stock-on-your-watch-list/>.
APA Style Citation:
Brown, S (2010, June 27). Keithley Instruments (KEI): Put This Promising Tech Stock On Your Watch List. Retrieved August 3, 2014, from http://uberarticles.com/finance/investing/keithley-instruments-kei-put-this-promising-tech-stock-on-your-watch-list/
Chicago Style Citation:
Brown, Steve "Keithley Instruments (KEI): Put This Promising Tech Stock On Your Watch List" uberarticles.com. http://uberarticles.com/finance/investing/keithley-instruments-kei-put-this-promising-tech-stock-on-your-watch-list/
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