|
|
|
home » small cap highlights
Small Cap Highlights
Communicate.com Inc. (OTCBB: CMNN.OB)
For
Monday, February 11th, 2008
Tony Golan
Chief Technical Analyst
StockProfit.com™
Zoom
This week I chose to highlight the chart of Communicate.com Inc. (OTCBB: CMNN). CMNN is restarting a powerful long-term up-trend, making higher highs and higher lows and is now above a rising 200-day moving average (the red line on the chart above). Relative Strength Differential (RSD), our proprietary indicator for selecting stock in super-strong up-trends, is well above the 25% threshold line, confirming the up-trend in CMNN and indicating it is likely to remain stronger than the S&P 500.
CMNN actually started its long-term up-trend back in late May, going from 1.14 to a high of 2.65. However, it then ran out of upside momentum and consolidated for the next six months. Then, it hit a low of 1.76 in late January, and rallied to a new high of 3.46 last week. The powerful move in such short time to a new high indicates the up-trend is alive and well, and once again moving at a speed which is outperforming major market averages.
Obviously, after the stock has had such a powerful up-move, it's much better to wait for a pullback before getting in. Such a pullback may not come until the stock hits much higher levels, or the stock may just reverse the up-trend and trend back down. Either way, right now CMNN looks strong and its move to new high is enough reason to keep it on your watchlist and look for an entry point in it.
Tony Golan
Chief Technical Analyst
Disclaimer: Copyright© 2008 StockProfit™. All rights reserved. StockProfit™ is an independent electronic publication providing information on select public companies. StockProfit™ is not a registered investment advisor or broker-dealer. There is a risk of loss in all of trading. Past performance is no indication nor guarantee of future results. The information contained herein is believed to be accurate.This update is provided as an information service only, and the statements and opinions in this update should not be construed as an offer or solicitation to buy or sell any security. In no event shall StockProfit™ and/or its publisher, P.A. Relations or any of its employees or affiliates, be liable for any direct, incidental, consequential, indirect or punitive damages whatsoever arising out of the use of the Information, or for any errors or omissions in the content thereof, including, but not limited to, from any investment loss, damage or expense incurred by any investor resulting from the Information, or from the purchase or sale of any profiled company or any company which we make commentary. We recommend using good-'till-cancelled stop orders to minimize losses in the event of an adverse price movement. We have not been compensated by company(ies) mentioned above in any way. We do not hold any positions whatsoever in the above mentioned company(ies).
|
|