Gannett ( GCI ) deserves a read
Financial Tides is a stock newsletter that advocates Momentum Investing. Occasionally a stock comes up on the BarChart screens and we can't figure out why. We might buy it but it will be monitored closely and sold at the first sign of weakness. Gannett Co (GCI) is just such a stock.
I've looked at all the fundamentals and they look flat to me. Analyst aren't forecasting much but the stock keeps going up. Possible sale may be foretold in the numbers.
We all know GCI, it's the publisher of USA TODAY. It has 3 divisions. The publishing division has USA TODAY as well as 850 local publications in the US and 200 in the UK. The main focus of the Digital division is Career Builders and some on line classifieds. The TV division has 22 TV stations across the US.
On the technical analysis side BarChart has this stock a BUY on all 13 of their TA indicators. 9 new highs in the last 20 trading sessions plus 2 in the last 5 show it is getting action. I can't find the reason for a 280% price appreciation in the last 65 days.
The action is saying something that the analyst haven't found.
Recommendation: BUY below 11.75 and use a protective stop loss at the 20 day moving average of 9. Watch very closely!
Jim Van Meerten is an investor who writes about his financial opinions on Financial Tides, MSN Top Stock Blogs and Seeking Alpha.
Disclosure: I hold no position in GCI at time of publication but hold in my Marketocracy S&P 500 for accountability of my recommendations