Intertainment Media Inc (CVE:INT) (PINK:ITMTF) price action promised a breakout with yesterday’s performance, but in the morning the stock struggled to keep the momentum.
Triggered by the announcement of a LOI to acquire the mobile software developer Commobility Inc., the stock of INT hit a new 52-week high.
The stock closed near the day’s high yesterday – a prime sign of a possible gap up upon breaking the resistance. However, the $1 price level wasn’t intensively tested in the past, so the breakout attempt proved to be vague. Traders looking for a sustained rally should also remember that the stock has already gone up 775% over the past three months, leaving less to anticipate of this mentally significant price level break.
With the popularity of its Ortsbo real time translator, INT stock has become very popular among traders. Intertainment has already rejected two offers to list their subsidiary Ortsbo Inc. as a separate public company.
With the market cap of over $123 million, investors are still waiting for the beta version to be offered as a commercial product. The growing number of unique users is being constantly updated through press releases by the management, thus keeping the investment community on its toes and in turn keeping the share price inflated.
It will be interesting to see what happens when the company’s user count growth slows down. If the company delays commercialization of Ortsbo, large scale speculations on the stock market might turn against them.
