Motorola Inc. (NYSE: MOT) — This stock topped out at over $9 in November 2009, falling to under $6 in February 2010. Since then, it has been consolidating within a broad rectangle. MOT briefly broke through the resistance line of the rectangle in July, and ran to over $8, but pulled back on profit-taking.

Late in August, the stock reversed after a signal from our internal Collins-Bollinger Reversal (CBR) indicator and executed a golden cross. On Sept. 8, at $7.86, the Trade if the Day said, “A break above the resistance line at $7.80 gives a target of over $9.”

Well, it didn’t quite make it to $9, but it did make it to $8.74 before profit-taking hit. Now at below $8, it could again find support at around $7.50.

The general market weakness is providing long-term investors with an excellent opportunity to buy MOT at a reasonable price. S&P has a “four-star buy” rating on the stock with a 12-month target of $10.

If you have questions or comments for Sam Collins, please e-mail him at samailc@cox.net.