The Play Of The Day
Good Morning Stock Fans!
Today's Play of The Day is: GlobeSpan (NASDAQ:GSPN)
GlobeSpan (NASDAQ:GSPN) is a leading worldwide developer of advanced digital subscriber line (DSL) integrated circuits, which enable high-speed data transmission over the existing network of copper wire telephone lines at rates over 100 times faster than today's commonly deployed 56 kilobit modem technologies. Both Cahners In-Stat and Dataquest, two highly respected market research organizations, have ranked GlobeSpan (NASDAQ:GSPN) the number one company in DSL chipset shipments for 1998. During 1999, Cisco Systems, Inc (NASDAQ:CSCO)., Intel Corporation (NASDAQ:INTC) and US West, Inc. all made equity investments in (NASDAQ:GSPN)
(NADAQ:GSPN) from September 2, 1999, to September 8, 1999, (NASDAQ:GSPN) literally exploded on news and optimism of its products as it stock price went from $58.06250 to an amazing $118.25 on total trading volume of That is a rise of over 50% in just 5 trading days 2,313,000.
Since that time (NASDAQ:GSPN) has sold on LESS DAILY volume each day to go as low yesterday as $60.1250 before it closed at $61.00 even a share on volume of only 316,000.
As I look at recent news on (NASDAQ:GSPN) I don't see anything that would warrant a sell off of almost 50% on this stock other then common profit taking. (NASDAQ:GSPN) is in a very hot area of DSL technology.
Today I like the chart pattern that I see on (NASDAQ:GSPN) as it has sold down on less volume, and now appears to have reached its low of $60.1250. I also see less RISK no this one with much more REWARD. I now like this stock to again make a move off this area that shows good support and head back up. I like (NASDAQ:GSPN) to move up at least $15.00 a share or more over the next 10 trading days, perhaps sooner as investors again see the future potential in this stock.
Buy Area: $60.1250- $62.93750
Sell Stop: $57.3750
TARGET: $70.00-$74.93750 ( 5 to 10 trading days)
BONUS PLAY: Rhythm Net Connections (NASDAQ:RTHM)
This one I have played several times off of its current level of $29.25 to $32.25 a share. This stock has already in the last 90 days shown big buying interest under $30.00 a share 3 times now. It went under $30.00 yesterday to go as low as $29.25 in mid day. It would not stay there long as it moved up fast to over $30.00 again on more volume as it closed the day at over $31.00 a share.
I am going to play this one today in an up market to again repeat recent history as it trading graph shows it has an excellent chance to go right back up to challenge $38.00 and then look to possibly goto $40.00 a share over the next 7 to 1 trading days.
Buy Area: $31.25- $32.1250
Sell Stop: $29.00
TARGET: $35.00 to $38.00 5-7 trading days
STOCK TO WATCH: US Web Corp. (NASDAQ:USWB)
Microsoft just announced a 67 million dollar investment in (NASDAQ:USWB). This is a very big move in that it shows that area of business that (NASDAQ:MSFT) is looking to move much more into the field that (NASDAQ:USWB) is on.
(NASDAQ:USWB) is trading up already more then $2.75 today. I like this stock to pull back less then $1.50 off its open today and then move up and go after $40.00 a share from there on what should be huge volume.
IPO WATCH: NETSOLVE (NASDAQ:NTSL)
This company is in the are of computer security and network management. It configures implements, and then manages it clients networks 24 hours a day 7 days a week. It offers unique software that allows it allows it clients to monitor its management anytime by simply clicking on the web. It also uses an indirect marketing model that allows it products to be sold by a variety of different companies.
CNBC Squawk Box featured this Internet IPO going public today. I was much more impressed with this stock when CNBC Mark Hans compared a part of its business to the likes of (NASDAQ:EXDS).
The fact that (NASDAQ:EXDS) is trading currently at over $70.00 a share might just tell me that this stock may perhaps be a great buy off its open today. I will be watching it close today.
More to come!