Count to Three and Buy Intel

Most everyone noticed the market got a jumpstart Thursday on the Intel (INTC - commentary - Cramer's Take) buyback news.

Naturally that led to many columnists pooh-poohing both the market and Intel's action. "No big deal" seemed to be the common consensus.

Perhaps the buyback isn't a big deal, but in looking at the chart, it sure seems like all systems are go.

As you can see, there are three reasons to own Intel right now, starting with the move it made to climb back above the uptrend line. Intel was in trouble below that line, but the recent rise has put it back in gear.

Second, as noted a few weeks ago, it was heading to support and bulls were hoping for a bounce.

They not only got that bounce, but clicked off reason No. 3 to own the stock: the move over and above the short downtrend line.

All good stuff, and yes, I'm long Intel. You should be too.

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Today, charts for the Nasdaq Composite, Prudential Financial (PRU - commentary - Cramer's Take), iPass (IPAS - commentary - Cramer's Take), Yahoo! (YHOO - commentary - Cramer's Take), Gold Fields (GFI - commentary - Cramer's Take) and Silver Wheaton (SLW - commentary - Cramer's Take).

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Charts produced by TC2000, which is a registered trademark of Worden Brothers Inc.

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And that is the final word from 47th and Sixth, where I'll be making a guest appearance on Fox News' "Cashin' In" tomorrow at 11:30 a.m. EST. Look for me to take on Wayne "Trapper John" Rogers in a special one-on-one segment!

Please note that due to factors including low market capitalization and/or insufficient public float, we consider iPass to be a small-cap stock. You should be aware that such stocks are subject to more risk than stocks of larger companies, including greater volatility, lower liquidity and less publicly available information, and that postings such as this one can have an effect on their stock prices.

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At the time of publication, Smith was long Intel, although holdings can change at any time.

Gary B. Smith is a freelance writer who trades for his own account from his Maryland home using technical analysis. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Smith writes a daily technical analysis column for RealMoney.com and also produces a daily premium product for TheStreet.com called The Chartman's Top Stocks -- click here for a free two-week trial. While Gary cannot provide investment advice or recommendations, he appreciates your feedback; click here to send him an email.