- December 2, 2008
- Posted by: Ramki Ramakrishnan
- Category: US Stocks outlook
Rambus Inc, a closely watched Nasdaq stock, has shot up from its recent low of $4.95 to close yesterday at $11.39. While there are clearly some fundamental reasons behind the aggressive buying (court ruling in its favor, perhaps?) the time was ripe for this rally from a technical point of view as well. The stock had just completed an extended fifth wave, (the flavor of the season) and at the slightest trigger, turned around abruptly. Allow for a brief pull back either from $12.09 or $13.28 in case it breaks the first level. A 50% pull back will be a good level to start buying for an eventual move to around $16.60.