We liked this stock right at the low of $2.25 and sold at $5.70 (see previous blogs) mentioning that we liked the stock for the long-run as well and look at it again. I neglected to do that. Today the profits reported were 82% higher than last time and the company at long last seems to be firing on all cylinders. If you like “infrastructure”, this is as pure a play as you can get. Here are the charts;
The drop from $26 to $2 qualifies as a bear market. As the last leg down in 2008 is a very clear 5-waves (see previous blogs) and therefore probable a c wave, the best count is an a-b-c X a-b-c. From there a new bull market should start. If that is correct you are now in a third wave of the first upleg. This could and should ULTIMATELY lead to a new high years from now. In the mean time if wrong expect at least an a-b-c counter-trend move as we have seen so many of, which should still take us to about $8.
Below was the chart then, just a few days before hitting a low;