SOURCE: Maybach Financial Group

Maybach Financial Group

October 12, 2007 13:15 ET

Maybach Financial Group: Fake Breakdowns and Breakouts

NOTE TO EDITORS: The Following Is an Investment Opinion Being Issued by Maybach.

GRANDE BAY, MAURITIUS--(Marketwire - October 12, 2007) - Comments made in this release are those of Maybach Financial Group and any questions or comments should be directed to the contact information located at the bottom of this release.

Maybach Financial Group is a syndicate of financial analysts, with a core group representing over 250 years of total investing experience. Our focus is to give investors the financial advantage necessary to sustain profit in all markets. This week, to gauge the outcome of the markets, we are focusing on Conexant Systems Inc. (NASDAQ: CNXT), RF Micro Devices Inc. (NASDAQ: RFMD), and Kulicke & Soffa Industries Inc. (NASDAQ: KLIC). For the full report, visit

The Maybach Financial Group will be researching the above-mentioned companies to determine their chances of a turnaround opportunity for investors. Visit for a complimentary subscription to the Maybach service and receive at no cost our "Special Report#1: The Pick of the Decade" plus a second free report "Special Report #2: Hearing is Believing." No credit card or payment information is required.

As investors pile into popular stocks, they can run for the exits en masse when news tarnishing the profile of their once-beloved company develops, giving foolish investors opportunity where others only see fear. Achieving stellar investments results doesn't come from following the herd: It requires investors to stick their necks out once in a while and accept that the crowd isn't always right.

There is a serious nearsightedness problem in the market when it comes to making investment decisions; even if the consensus agrees a company is facing a problem that will only last a short period of time, many often sell anyways in hopes to buy it back once the future becomes more certain.

Many stocks and sectors give off false technical signals (fake breakdowns and breakouts) because there's not enough information flow about the business between earnings conference calls to make informed trading decisions. However, the semiconductor industry is so broad and deep, and many companies in the sector actually still carry inventories, that it's relatively easy for the "smart money" to get a good flow of information about the state of the industry. Semiconductor stocks have been acting terribly for the majority of the year. But there's a ray of hope. Technically, the semiconductor stocks are very oversold and close to important support. That could indicate that if the semiconductor stocks can hold here they could lead the market higher once again.

One such stock that has remained fairly constant over the past year is Conexant Systems Inc. (NASDAQ: CNXT), in this highly competitive field of semiconductor system solutions for broadband communications worldwide. A close rival would be RF Micro Devices Inc. (NASDAQ: RFMD), also remaining somewhat constant within this last year.

In addition, Kullicke and Soffa Industries Inc. (NASDAQ: KLIC), which is about as close to the front lines of semiconductor manufacturing as you can get, is a very well run company with a very honest and straightforward management team.

There are several different ways to invest in the semiconductor space, since few companies perform the whole process from design and fabrication. But one that does is Genesis Microchip Inc. Genesis Microchip sells and markets its products directly, as well as through regional sales representatives and distributors primarily in China, Japan, South Korea, Taiwan, and Europe, as well as in the United States.

Looking at the big picture while having a reasonable indication of what you think a company is worth is the first step in developing a successful investing mindset. Don't get too caught up in the noise surrounding a company for events that will likely pass in due time. When good companies encounter painful events, ask yourself some basic questions: Will it hurt the company this year? Probably. Will it affect it next year? Probably not. Is the stock price reflecting next year's potential? Or the next five years? If the answer is no, you might have an opportunity to bypass short-term pessimism and invest in good companies at bargain prices.

Visit to receive our Special Report #1 with information on how to combat the markets and more information on one of the biggest sectors in the world -- yet unknown and overlooked by many.

For a limited time only, gain access to Maybach and our reports free of charge with no credit card or payment information required. Visit for your free subscription.

Maybach Financial (Maybach) is not a registered broker dealer or a registered investment advisor. No information accessed through the Maybach Web site or this release constitutes a recommendation to buy, sell or hold any security in any jurisdiction. Please consult a broker before purchasing or selling any securities viewed on or mentioned herein. There is no financial relationship that exists between the issuer of this release and the company whose stock is mentioned in the release. Please view the disclaimer at

Statements made in this release may include forward-looking statements and projections, made in reliance on the safe harbour provisions of the Private Securities Litigation Reform Act of 1995. Maybach has made every reasonable effort to ensure that the information and assumptions on which these statements and projections are based are current, reasonable, and complete. However, a variety of factors could cause actual results to differ materially from the projections, anticipated results or other expectations expressed in this release. Maybach makes these statements and projections in good faith, neither Maybach nor its management can guarantee that the transactions will be consummated or that anticipated future results will be achieved. All material herein was based upon information believed to be reliable. The information contained herein is not guaranteed by Maybach to be accurate, and should not be considered to be all-inclusive. The companies that are discussed in this opinion have not approved the statements made in this opinion. Maybach assumes no obligation to publicly update or revise any forward-looking statements made herein or any other forward-looking statements made by Maybach, whether as a result of new information, future events, or otherwise.

Contact Information

    The Maybach Financial Group
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