Akamai Technologies (NASDAQ:AKAM) – This stock has been a favorite of mine since Oct. 31, when I recommended it at $29.
And on Feb. 9, I said, “AKAM reported Q4 earnings trouncing analysts’ estimates of 40 cents, and revenues were up 15%, well ahead of Street estimates. The stock sold north of $37 in after-hours trading.
“Longer-term investors may wish to hang onto their AKAM shares, but traders should recognize the pocket of resistance at $35 to $43 and the open gap at $35.50 to $40. These gaps, when associated with resistance zones, are often areas to target for profit-taking.”
The gaps referred to are beyond the left side of the chart, occurring early in 2011. Thus, the comment is still valid. AKAM may pull back to the support at around $34, which approximates its bullish support line and its 50-day moving average. That is a new buy point. The sell point is at $40, which is the top of the current bull channel.
