Subscribe in a reader
Using our latest and most revolutionary new Black Sheep Trader service, we found a favored stock stuck in a consolidation pattern that’s just waiting to make a major move north. That stock is Sirius Satellite (SIRI), which we issued a buy on just yesterday.
Here’s why. Sirius is gearing up for another major move. The bottom horizontal line represents old resistance, which turned into key support once the stock broke through last Wednesday. This move, represented by the first circle, occurred just as the MACD formed a positive convergence – signaling a buy.
Over the past few days, shares have been consolidating and building momentum in the form of a base. Support has held strong the entire time and once again the MACD indicator has bottomed out. The time to get in is running out. Soon, the stock will pop, leading us to issue an immediate buy.
As for the news front, our interest was piqued further on Monday option volume. On that day, the December 2007 4 calls had volume of 1,291 with open interest of 29,895. The January 2008 4 calls had volume of 3,142. The January 2008 5 calls had volume of 1,984. The March 2008 4 calls had volume of 1,858. The March 2008 5 calls had volume of 1,588.
A lot of that call option bullishness may be the result of the S-4A SEC form filed on Friday.
This is the third S-4A filing. Future S-4A filings may begin to offer some insight as to when XM Satellite Radio (XMSR) and Sirius Satellite Radio (SIRI) anticipate regulatory approval.
Ian L. Cooper and Stephen Oakes
Editors, Black Sheep Trader
Could you handle a 109% gain on every play?
In its first four months of existence, Black Sheep Trader has generated 14 winners out of 18 tries for total gains of 1,969%. That’s an average gain of 109% on every play and an accuracy rate of 77%. Act now and secure a six-month subscription to this cutting-edge new research service... absolutely free.
Please follow this link for all the details...
I'm Bullish on Everything! Well...
10/8/2007
Investing in Solar Energy: Free Energy From the Sun -- Up 473%!
10/5/2007
Housing: Exactly Where Is the Bottom, Citigroup?
10/4/2007