Akamai May Have Found A Bottom (AKAM)

We may have seen the bottom in shares of beaten down Akamai Technologies

. Yesterday, the stock lost around 5% on very heavy volume in a strong broad market tape. On Tuesday, the stock is trading slightly higher on very heavy volume in a weak broad market tape. Yesterday's trading activity had all of the characteristics of a capitulation bottom, and today's action is suggesting that the low may be in for AKAM. AKAM was a one-time high flier that has been hit hard in recent months as a result of disappointing earnings and guidance. The stock has fallen to $37.50 after hitting a 52-week high of $54.65 in December. The fall has been swift and merciless, with the stock losing around 30% over the last 3-months. Traders watching this name in an effort to catch a bottom may want to take a shot from the long side on Tuesday. A sensible stop-loss might be in the $35 area with a target of $45 on the upside. Akamai Technologies, Inc. (Akamai) provides services for accelerating and improving the delivery of content and applications over the Internet, ranging from live and on-demand streaming video capabilities to conventional content on Websites, to tools that help people transact business and reach out to new and existing customers.