Trading Ichimoku

RightNow Sees Profit In Q2

http://www.techrockies.com/story/0023155.html

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Key Points:
- Net income of $36k on revenues of $36.3M; previously $3.1M loss on revenue on same quarter last year.
- third consecutive quarter of profitability for the firm.
- profitability was driven by recurring revenue growth and management of its expenses.
- new and renewing customers in Q2 included Belkin, Bowne, Figi’s, Husqvarna, Jackson Hewitt, K2 Network, The Ladders.com, NetScout, Snapfish and TD Banknorth.

RightNow (RNOW) has consolidated since I sighted its bullish move on July 15.

With the earnings just 2 days from now (July 29), there is a good chance that it may breakout of this consolidation and move higher.

The Tenkan sen has risen closer to the price level. And the kumo is also suggesting good support at $12.

Note: As with all earnings play, we never know how the market will react. The broader market seems also a bit stretched and may see a correction as well.

I am keeping my fingers crossed on this. My bet is for RNOW ability to keep cost under tight control with good revenue reports.

I believe the former, keeping under cost under control, should be easier as the founder Greg Gianforte, has a history of bootstrapping RightNow and bringing it to IPO. I think that is a feat to remember.

Let’s hope such tight controls continue.

RNOW has a nice little rally for the past 2 days.

1. On the daily chart, it scored another new high for the year; breaking through $12 on high volume

2. We can also see that the leading kumo is shifting its gear and going to trend up even more; a sign that the momentum is gaining.

3. On the Weekly Chart, it has break through the kumo resistance, and is now sitting on top of a very thick kumo; a sign of support.