BlackBerry Ltd. Q4 release scheduled for April 1

Feb 22nd, 2016 – Comment

Beware the fool! Be not the fool on April 1


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Lou Schizas is an equities analyst, investor, entrepreneur, professor and television and radio personality – and a true believer in the happiness-inspiring powers of capitalism.


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BB LOGO

Could you take a look at BlackBerry?

Thanks,

Jim

 

Hey Jim,

Thanks for the assignment. This will be the twelfth time since 2008 that I inspect the files concerning BlackBerry Ltd. (BB TSX). The last time was on November 30, 2015. The shares were trading for $10.62 and Carl was thinking of buying.

The research conducted on his behalf indicated that the stock was oversold in late September of 2015. The MACD and the RSI had generated buy signals attracting informed investors into the market. The advance took the stock through the 50-day moving average running to $11.00 where it met resistance along the 200-day moving average.

It was advised to monitor how BB traded as it approached the release of Q3 results on December 18, 2015.

 

A review of the charts will help determine the prospects for this investment.

BB

The three-year chart depicts the move through the 200-day moving average in mid December and the run to $13.00 by the end of the month on enthusiasm from the release of Q3 results. Sadly that was as good as it got.

The MACD and the RSI both generated sell signals near the top as the shares beat a quick retreat to support in the $9.00 range.

 

 

 

BB2

The six-month chart highlights the fact that the best approach to managing BB has been to trade it for profits. The move off the late September lows near $8.00 produced a nice gain in the last three months of 2015.

2016 is an entirely different story. There is scant evidence that we can expect a new up leg in the near future. The company is expected to report Q4 on April 1, 2016  which once again demands vigilance as we get closer to the event.

There are some suggesting that the future for BB is their secure communications expertise. The internet of everything will create greater mobile access to an increasing number of devices which certainly draw the attention of the hacker community.

Next time I will inspect the charts for Crescent Point Energy Corp. (CPG TSX) and Veresen Inc. (VSN TSX) for Angelo.

 

Make it a profitable day and happy capitalism!

Categories: Telecommunications
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