November 10, 2009
Shares of Radioshack Corp (NYSE: RSH) jumped 14% on Monday, November 9, after the company announced it would soon carry Apple’s iPhone 3G and iPhone 3GS.
The rally puts share prices right at the 50% retracement level ($20.70 reached intra-day) for Radioshack’s entire July 2007 to March 2009 bear market decline.
While the 50% level is one where resistance can be expected, it will likely be surpassed in coming days on momentum alone. That will forecast a run to at least $24.06 a share, the 61.8% retracement level for Radioshack.
If you are late getting into this trade, the $24.06 level is still 21% higher than today’s close. There appears to be room left to profit for Radioshack shareholders.
Kollar is editor and chief analyst at FibTimer.com (http://www.fibtimer.com) which offers market timing strategies for S&P and Nasdaq index fund traders, as well as bond, gold, small cap, sector, ETF and stock trading strategies.
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