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Subject:  Re: VRTX spiking in pre market Date:  5/9/2012  8:16 PM
Author:  PuddinHead42 Number:  24843 of 25063

Have you looked at MAKO? Any technical analysis on that one?

Have not followed or researched but seen enough to have a feel. The TA term for the current chart pattern is "Super Sucky". this is a typical growth and momentum stock. Great new product, next new something (ISRG) in case you missed the first something, high PE, but higher growth rate and earnings beats to support PE, everyone wants in, little and big guys. Then one day it misses and that's it. People are sour, move to next thing. This is a painful chart, lots of damage to make up. I would not catch the knife soon. Look at Netflix, green mountain, Fossil, etc. Once they tank, you don't know if they will come back. What's the next big thing, that's where this money goes. Maybe MAKO is great 5 years out and provides a buying opportunity now, but you can't tell. Will they miss again?

You want to think it can make it back to where it was, bit gains. If you own you want to average down - very dangerous for growth stocks - great for value stocks. If this is a 5 year stock, then it will have time to prove itself with increasing earnings again and a chart that sets up and breaks out on high volume, that is when you buy a growth stock.
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