Marvell Technology Group (MRVL) — This leader in integrated silicon solutions has been in an orderly bull channel since late last year.
However, on Dec. 11, at $18.72, I said, “A huge quarterly earnings surprise on Dec. 4 brought in buyers who blasted the stock through a tough zone of technical resistance on a breakaway gap with high volume.
“This could be a volatile stock, so cautious investors may want to take a half position now and add on a pullback. The target for traders is $25.”
Following our comment, MRVL rose to $21.76 before profit-taking took it below $18. Now at just under $20 and attracting buyers, Marvell again looks like it’s in buying range with the target for a trade at $25.
As with all speculative trading positions, it is wise to place a stop-loss order so that losses don’t get out of hand.
Related Articles:
Trade Options to Get Richer, Quicker!
There has never been a more exciting time to be an options trader. And now, you can get the option information you need FREE each week. Sign up for your free subscription to Chris Johnson’s Market Edge newsletter today!
