I think that the issue is more than just CTL, and really does to the entire field of high dividend rural telecommunication companies. If you look, you will note that FTR started to swoon even before CTL announced its results. If WIN does not meet analysts expectations when it releases results next week, something it had a difficult time doing last year, then you will see even more pressure, Finally, if FTR also comes up short on its earnings announcement next week, and I suspect that nervousness about this possibility is is part of the reason for FTR's dive before the CTL announcement, this is going to put even more pressure on WIN. Seeing as FTR has flown past its 4.15 support (Cramer did an article on this earlier this week) without blinking, this entire group is likely to be very negatively volitile over the next few weeks, with opportunities presenting themselves just before the ex-div dates for the respective stocks in this group.
"I don't understand, what does the CTL divi cut have to do with WIN?"
Since the two companies are in the same industry, the CTL cut means that the industry is doing poorly. Thus the fear that WIN is also going to cut their dividend.
Any chart readers out there?
I am interested in what is your take when looking at yesterdays momentum and MACD chart. Both charts drop straight down at the open, then shoot right back up a little before 10:00am and remain relatively flat the remainder of the day. I hate to say it, but it seems like there is relative support to establish the floor around $9.10. To me, this suggests upward movement since we are already at the floor. Any insight.