Remember: Tomorrow Is A Day For CPNE To Discuss There Success, Earnings, and Plans This Year.
Proof is always in the numbers folks: The audited financials come out in late March. We know from PR that the 4th quarter was a great quarter and that the first quarter following is also great.
Important to also note: Tomorrow is a new day at CPNE whereby brokers / institutions will have the opportunity to buy in and take the price to a new level.
THis is clearly IMHO a NASD waiting in th wings in the enxt few months.
OTC Journal Report on CPNE
CPNE broke out yesterday on nearly a million shares of volume. So much for last week’s little bobble when the company announced major shareholders had sold two blocks to institutions at $1.90. Was it a good move on the company’s part? I believe that debate is over.
Unfortunately, the stock did not give a lot of ground and give investors an irresistible entry point. I believe pull backs are going to be shallow and short lived.
The stock is trading very well into Thursday’s big event- the company plans to issue Q4 guidance. The market clearly anticipates good numbers.
For those with a trading mentality, the current move in the stock could offer an opportunity to take some profits, and look for a more favorable entry point.
The stock seems to have resumed its pattern of trading up late in the day. Clearly, there isn’t a lot of supply.
Over the 20 years I have been trading stocks, certain patterns emerge which are fairly predictable. CPNE is behaving like any other stock where the market anticipates strong earnings. The stock trades very well up to the announcement, then sells off a bit, regardless of whether or not the earnings are strong.
If the company delivers good earnings and growth, the sell off is a buying opportunity. If it doesn’t, the sellers look smart.
If you are itching to take a profit in CPNE, today, and tomorrow pre news could prove to be your opportunity. This could be a trade able event.
The chart would not copy:
As you can see, the stock made another new all time high yesterday on a big surge. The company will announce Q4 numbers tomorrow. I don’t know if it will be pre open, or later in the day.
Nevertheless, if you like to trade, you should sell whatever percentage of your position you have in mind before the news comes out. Nine out of ten times, when a stock runs up into earnings, it temporarily sells off after the fact.
However- one word of caution- I definitely would not sell it all. There is no telling where this thing is going, but I believe north of $4 and a NASDAQ listing is a fait accompli at this point in time. Also- if you are simply a long term investor with no interest in short term trading, disregard this BLOG.
