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CANSLIM.net Profile: NAVTEQ Corporation engages in the creation, updating, enhancing, licensing, and distribution of digital map database in North America and Europe. It provides digital map information, and related software and services, including products and services that provide maps, driving directions, turn-by-turn route guidance, fleet management and tracking, and geographic information systems. The company provides digital map information for automotive navigation systems, mobile navigation devices, and Internet-based mapping applications. The company was founded in 1985 as Karlin & Collins, Inc. It changed its name to Navigation Technologies Corporation in 1987 and to NAVTEQ Corporation in 2004. NAVTEQ is headquartered in Chicago, Illinois. Navteq Corp sports a strong Earnings Per Share (EPS) rating of a 97 and a very healthy Relative Strength (RS) rating of 99.  The company has managed to increase its earnings by above the +25% guideline in each of the past four quarterly comparisons versus the year earlier, satisfying the "C" criteria. NVT resides in the very strong Telecom- wireless services group which is currently ranked 10th out of the 197 Industry Groups covered in the paper, placing it in the much preferred top quartile and satisfying the "L" criteria. 

What to Look For and What to Look Out For:  Look for NVT to trigger a technical buy signal, which could come if it rallies and closes above its pivot point with gains backed by at least 2.4 million shares. Volume needs to be at least +50% above average behind considerable gains to trigger a proper technical buy signal - the high volume behind a breakout's gains is a critical sign of institutional buying demand (the I criteria) . It would be very encouraging to see NVT trigger a technical buy signal and continue rallying to fresh highs on heavy volume in the days and weeks to come. However, if volume fails to meet the minimum guidelines then a proper technical buy signal would not be triggered. Its 50-day moving average (DMA) line is the next nearby support level of importance chart-wise, and violations would lead to further downside testing.  Avoid chasing this issue above its maximum buy price of $72.50, where it would be too extended from a sound price base. As always, it is of the utmost importance to sell a stock if it drops 7-8% below your purchase price. 

Technical Analysis: On July 23, 2007, NVT experienced a "break-away" gap when it surged into new high territory right before the market ("M" criteria) started correcting. The stock held up remarkably well over the past six weeks, even as the major averages pulled back. This is best illustrated by the stock's 99 Relative Strength rating. NVT has reached new all-time high territory after forming a loose 5-week base. In July it blasted above its 2005-2006 chart highs which had been a long-term resistance level in the $53-55 area, then it retraced and found support in that range during its August pullback while also staying well above support at its 50 DMA line. At this point, it is of the utmost importance to see volume increase above the minimum threshold to trigger a proper technical buy signal before prudent investors begin accumulating the stock. As long as the stock continues trading above its 50 DMA line, the bulls remain in control. NVT was first featured in yellow earlier today, in the September 12th, 2007 CANSLIM.net Mid Day Breakouts Report (read here) with a $69.05 pivot point and a $72.50 maximum buy price.