One communications services player that's trading within range of a near-term breakout trade is Lumos Networks (LMOS - Get Report), a fiber-based service provider in the Mid-Atlantic region. The company provides data, broadband, voice and Internet protocol services over fiber optic network. This stock is off to a bearish start in 2012, with shares off by over 30%.
If you take a look at the chart for Lumos Networks, you'll see that this stock was stuck in a nasty downtrend from the start of this year until May. During that downtrend, shares of Lumos Networks plunged from a high of $17.32 to a recent low of $7.65 a share. As this stock made that large plunge, shares of Lumos Networks consistently made lower highs and lower lows, which is bearish technical price action. That said, this stock has stopped that downtrend for the past two months, with shares making higher lows and now trading into position to trigger a breakout trade.
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