Our one Chinese small cap is showing some life all the sudden. This has to be one of the cheapest stocks in the market relative to growth rate, and with earnings later this week (the 12th) this is a name that could pull an earnings surprise and rocket overnight 20%. But I'll leave that to the gamblers. Technically the stock has run into old highs so either it is about to make a double top or break out over this level. Obviously the former is bearish and latter is bullish. Volume has been huge the past 2 sessions - hmmm! Perhaps it hit a daytrader's board or something.
I'll take half off the table here with just under a 10% gain, and let the other half run into earnings.
I just re-entered this position July 26th.
Spreadtrum Communications, Inc., a fabless semiconductor company, designs, develops, and markets baseband processor solutions for the mobile wireless communications market. It sells products directly to brand manufacturers, independent design houses, and original design manufacturers primarily in the People's Republic of China, Hong Kong, and Macau.
Long Spreadtrum Communications in fund; no personal position