New position: VIP

Today I bought VIP at 8.95, Stop at days low. $8.46.  Just over .5R VIP has a decent setup but the market shows some signs of tiring as the small caps are not keeping up with the Mega companies.

VIP comping off a bottom  somewhat of a inverse H&S chart set up.  Better than average volume from range bound trading and closed near the HOD.  Looking for follow through but will play it tight.

 I have no grand visions of glory for this stock but these are the types that can sometimes surprise you.  I'll fade out a portion over the next 3 days assuming continuation and with the remainder of the position, we'll see what happens. Although it was not my basis for taking the trade there is a fundamental driver, in that there is news of  renewed merger talks, per Bloomberg:

VimpelCom gained after people familiar with the matter said the company has restarted discussions to combine its wireless operations in Italy with Hutchison Whampoa Ltd. (13)

“The merger would strengthen VimpelCom’s finances, and traders assume it will go through this time,” Ksenia Arutyunova, an analyst at Rye, Man & Gor Securities, said by phone from Moscow yesterday. “Fewer players means less competition, which in turn may result in higher prices and more revenue for the local cell phone companies. It may be the beginning of a turnaround for VimpelCom in Italy.”