Friday, May 9, 2014

TW Telecom Inc (NASDAQ: TWTC)

TW Telecom inc., together with its subsidiaries, provides managed network services in the United States. The company specializes in business Ethernet, data networking, converged, Internet protocol (IP) based virtual private network (IP VPN), Internet access, and voice, including voice over IP (VoIP), as well as network security services. It delivers a portfolio of data networking services, including Ethernet bandwidth, and integrated and managed network solutions; data and Internet services comprising Ethernet, managed services, Internet services, and integrated services; and voice services that provide customers with local, local toll, and long distance calling capabilities.
To review TW’s stock, please take a look at the 1-year chart of TWTC (TW Telecom, Inc.) below with my added notations:
1-year chart of TWTC (TW Telecom, Inc.)
TWTC has been trading sideways for the last 9 months. Over that period of time the stock has formed a clear resistance level at $32 (red). In addition, the stock has also created a strong level of support at $28 (blue). At some point the stock will have to break one of the two levels that the sideways consolidation has created.

The Tale of the Tape: TWTC has clear levels of support ($28) and resistance ($32). The possible long positions on the stock would be either on a pullback to $28, or on a breakout above $32. The ideal short opportunity would be on a break below $28.
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