Month: June 2012

JNPR, Juniper Networks, update

Hamilton

Last December, 2011 we anticipated that the stock was triangulating and consequently needed a 5th wave as a thrust. The logical targets (see that blog) where somewhere between $ 13  and $10 . Today, using the triangle measure that can be fine tuned to $12.50;

JNPR 2012

However, the triangle can be drawn with sharper triangle boundaries  which would move the e  slightly to the left and up. This would have the effect of slightly raising the target. Anyway, if short it may be a smart idea to buy back the stock. If buying outright I would wait, at least un till the RSI is well below 30.

CVS , Caremark Corp,

Hamilton

This is a large pharma retailer. Peddlers of pills, if you will. One of the last growth industries in the USA. If, by the age of 5 at the latest, you are not taking at least 5 different pills for an equal number of real or imagined ailments, you have to assume that the American Dream has passed you by. It gets worse over time. As always , the rest of the world is doing its best to catch-up. But these fellows operate locally only, so perhaps they benefit from Obama-care, perhaps not. Here are the charts;

cvs b

The immediate trajectory is not perfectly clear. We suspect that we are making a four year B-wave in the form of an A-B-C in which the b is a triangle. Both legs A and C are now about equal, we have made a new , irregular, top. The straight line through the tops runs at a little under $50, whereas the channel line is a little above that, say $52. Considering that we are already at $46 there is not much room left. Use a very tight stop or sell outright soon.

STX , Seagate

Hamilton

stx big 2012STX b 2012

Seagate makes internal and external hard drives, essential for all computers. We know absolutely nothing about these things and hope to keep it that way. Often ignorance is indeed bliss. Sell the stock anyway. This stock has displayed a real gem of a B-wave over the past 4 years or so, managed to double-top, and is already on a downward trajectory. At a minimum this stock should be trading at $10

THO, Tahoe Resources

Hamilton

THO

The top is either the first or the second top, with either a simple a-b-c wave 4 zig-zag or a more complex irregular flat. Either way the first target , as always is the base of the wedge $14, so today’s drop comes as no surprise. Most likely we had completed waves 1 and 2 just before this drop and are now in 3. Again using the gap in the middle approach suggest the stock should drop to about $6, if not further.