Keep your eye on "gps"

[zyzzyva57]

Cramer's boy Eddie Lambert (Sears) may be eyeing The Gap

http://www.nypost.com/seven/10012006/business/eddies_mad__business_hilary_kramer.htm

[spanky]

So, which would be the better buy based on this article?

Short term it may be GPS for the bounce if Lampert buys. (GPS is just off it's 52 wk high, and ~$4 off it's 2 yr hi close-- $23.60 on 15 Nov 04)

Long term, since SHLD's board gave Lampert personal control to invest the company's $3.7B cash holdings, SHLD may be a buy. SHLD is near $160, which it also reached in Jul 05 and Jun 06.

Ideas/thoughts?

Spanky

[zyzzyva57]

For me, I am in Deep Learning, which means I am doing more paper trading to test my theories

Here is what I am testing: Master Cramer loves two traders: Warren Buffet and Eddie Lambert (of Sears)

Eddie Lambert is selling stocks his holding company owns apparently to build up his war chest, which COULD be to go into The GAP--a stock at this writing Cramer hates--however, if Eddie goes toward the Gap I suspect Cramer will go positive on it based on his hero Lambert

Looking at the chart sure shows some interesting stuff: RSI is high indicating volume

Stock price is above its 52 week high

The price is above its 50 Day MA which is above its 200 MA

The Slo Sto at the bottom of the chart shows the big boys are moving in

The MACD is up indicating the rest of the market is moving in

Volume is nice

But I AM NO GURU AT THIS!!!!!!!!!! Consider my theory only as a theory!!!

Go to Google Alert and set alerts on "gps" and "esl" so you can daily track the activity of Lambert ("esl" is holding company) and "gps" (Google Alerts are a painless way to keep up with stocks, etc)

Here is the chart:

http://stockcharts.com/h-sc/ui?s=GPS&p=D&yr=1&mn=0&dy=0&id=p05005093181