I'd call JDSU's chart pattern a shakeout. It puts in a double top at $14. No way would "they" let it break higher from there. Then it gets taken down to where it's at now. I haven't bothered to see if it's actually a 50% retracement, but I wouldn't be surprised if it wasn't. Just enough torture to get everyone very uneasy and annoyed before the earnings report. And that would be both on the long and short side.
Last quarter their numbers and guidance weren't all that great and the stock price didn't do too bad. It's really tough to know how the stock price will react to whatever the news is given that the company is splitting up. Maybe that's why it just sits in this trading range,
I would say the market wants FNSR to buy a part of JDSU's business sooner rather than later.
Pas, As you know I've been trading JDSU since 1999. Mostly tough times with a few good times thrown in.
A chart like the one I asked you to run, sure helps keep things in perspective.
Did you run that 2 year, or 5 year, or 10 year chart comparing JDSU, FNSR, and CIEN? It's very easy to do within Yahoo.
Good point. It does get these sharp upward spikes (i.e. Friday AM it got as high as $13.40) and then late Monday through early Tuesday morning - even in the midst of an overall downward move. It even gets these on a daily basis usually in the first half hour of trading, but they quickly disappear. Maybe Hedge can provide an explanation of what may be happening.
Run a P&F chart. Going through $14 was an important event, since it put in a higher high and reinforced its position above the bearish resistance line. Since the $14 level, we've had another annoying pullback. I guess annoying if your long and a good thing if you're short. It's basically done a 50% retracement in its column of Xs. It's just typical JDSU behavior since mid 2011. It's tough to be long and equally as tough to be short.