Hutchinson Technology (HTCH)

Company

"Hutchinson Technology is a global technology leader committed to creating value by developing solutions to critical customer problems. Our culture of quality, continuous improvement, superior innovation and a relentless focus on the fundamentals enables us to lead in the markets we serve." (company website)

htch(4-1)
HTCH 4-month chart
htch(4-1)_1yr
HTCH 1-year chart

Buy

Hutchinson's journey to the bottom ended in March, and since then it has formed another two bottoms, but each higher than the one before. Beginning in July, the price climbed steadily until September when it retreated back to the 50-day moving average. In the last three days the PPO line has begun to converge on the signal line, with heavy volume today.

  • Percentage price oscillator (PPO) — just beginning to tip up in past three days
  • Volume — higher volume days have been mostly up-days

Based on technical analysis, MarketEdge calls HTCH a "buy" in a "strong upward trend," noting that it is "oversold" and at a "good entry point."

Sell

gain Bottom line
7%

After solid advances last Friday, the Columbus Day market pretty much stalled, so I cashed out. HTCH has shown little momentum since I bought in. Except for Friday, the opening and closing prices have been very close together. I decided to take a modest profit and move on.