Nokia is down nearly 10% following a disappointing earnings release. The steep drop has Nokia trading right on top of its long-term up trend line that was established during 2012 when shares bottomed. Nokia shares put in a long-term double bottom, with the same lows being established in 1996 and 2012. If Nokia can hold it's long-term uptrend line, the 23.6% fib retracement target of $16 is still in play. The fib retracement connects the 2000 all-time high with the 2012 low.

Fundamentally, Nokia has staged an impressive turnaround following its strong swing to profit after selling off its money losing phone division to Microsoft (MSFT) last year. The pending tie up with Alcatel Lucent (ALU) bodes well for Nokia's top and bottom line in the long-term, and should provide plenty of room for upside once both companies are well integrated. Nokia is a long-term hold.