One of the users requested for a review on Sirius Radio. If you look at the weekly graph shown above, it is building a handle for a cup right now. It found nice support on the 50 day moving average line recently too. SIRI tried to explode a couple of times during the handle, but it did not work out well, as it happened on below average volume. This stock has tight price closes too, which is definately a nice pattern to have. I would say this stock is definately a HOLD, if you have positions in it.

This stock looks like its ready to explode anytime soon, due to its three great qualities

1) nice cup and handle
2) support on its 50 day moving average when the volume dries up
3) tight price closses

For users who needs help on how to identify a cup and handle, look at the picture attached below. I have drew up the cup and handle for the stocks for easy reference. Look at the circled volume below, you want to see below average volume when it forms the handle, so it can shake off the additional sellers.

I hope the review proves useful. Do feel free to let me know on which area do I need improvement on, I will definately work on it.

Just to round up, I will never purchase this stock in the first place, as the insiders of the company only own 1% of it, which I'm not a big fan of. This does not make the executives of the company to work hard for it. The industry group that it is in is not doing too well too. But since you already in the stock, I would maintain a HOLD rating on it and see its actions the next few days.


Cheers,
James