Stocks in Focus for Friday: CSCO, EK, GIGM, TXN

11% Increase!!! A truly remarkable day for Eastman Kodak Company (NYSE:EK) shares. The stock surged 11.32 percent or 54 cents to $5.31 per share, spurring bullish options trading, amid renewed speculation the company is an acquisition target. Breakout !!!!! After nearly a month of consolidating sideways shares of Eastman Kodak broke out higher past resistance near $4.85. This is a very short-term bullish development. Conservative traders may want to exit now but I’m going to adjust my exit target just a little bit and move it from $5.68 to $5.95. Aggressive traders could easily aim for the $6 or $6.25 level. I first alerted on this one Friday night and Yesterday when it was trading at $4.77. Today it hit a high of $5.48 for a possible gain on 15% and ended the day at $5.31 so readers who bought in on my inital alert are still up 16%!! Hope everyone is having fun and making some money. To answer some of the e-mail’s I have been receiving : Thank you for telling me about your success with EK and other alert’s I have brought you. Technically speaking, EK looks promising. The stock is in a very strong bull market as MACD is high above signal line and %K line has just crossed on top over %D line. In addition, the long term trend is now bullish as the stock is on top of 50-day moving average and back above the 200-day moving average. All of the common indicators point to some very positive near-term advances.

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Texas Instruments Incorporated (NYSE:TXN) continues to show relative strength with another new relative high. The stock is beginning to look a little short-term overbought and due for a dip. I would expect TXN to find short-term support at the rising 10-day moving average near $32.85. On the other hand, fresh exposures may be considered on a move above $33.93.

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After two days of relative weakness we’re finally seeing an oversold bounce in Cisco Systems (NASDAQ:CSCO). Immediate resistance is at $20. A break above that area could trigger further upside recovery testing $21.12. Stay tuned !!!!

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I have been warning readers that GigaMedia Limited (NASDAQ:GIGM) looks like it would bounce back toward resistance near $1.73. From a technical standpoint the larger trend is still bearish but in the short-term technical indicators have turned bullish with the bounce. The MACD also confirms the price movement byheading higher and RSI shows that there’s more upside to come. Furthermore, the most recent data shows that the short interest increased significantly ( 35% ). That’s a high-degree of short interest, and raises the risk for a strong short squeeze. Right now I’d watch the 20-dma near $1.50 as short-term support.

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Disclaimer: This is not an investment advisory, and should not be used to make investment decisions. Information in AC Investor Blog is often opinionated and should be considered for information purposes only. No stock exchange anywhere has approved or disapproved of the information contained herein. There is no express or implied solicitation to buy or sell securities. The charts provided here are not meant for investment purposes and only serve as technical examples. Don’t consider buying or selling any stock without conducting your own due diligence.

About Antonio Costa 325 Articles

Antonio Costa is a 35 year old part-time trader who trade stocks in the US market.

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