[MalcolmSm1th]

Thanks again for running this quiz. I hope that my answer is useful.

1. The price is BELOW the moving average. The moving average has just and has just started to decline a little.

2. The volume looks like there's a battle between the buyers and sellers. The volume looked interesting and positive in June 2011 when the stock started to break out above of the historical high at 9s. Since then the volume fell on retracement and then took off. At the moment the volume is spiking but overall it's lower than it is in the summer of 2012. In fact the moving average of the volume is turning.

3. The relative strength is below the zero line. The relative strength had turned in the October of last year. Ths is a negative signal for me.

4. The relative strength zero line itself is flattening out.

5. Near term resistance? Yes, we are experiencing lower highs since August 2012. One can count at least three significant, four if one counts the recent high, higher highs which are all resistance levels. More red lights here.

6. The stock is in stage three and if it drops much further, below the current 28 level, then it will be in an early stage four.

7. The sector could be in a stage 2 or an early stage three. The MA is still rising quite steeply and so this could be a contnutation for the stage 2 or it may signal the start of the stage 2. What happens next depends very soon on whether the price rises and then it's in continuation or if it contnues like it is then we're in stage 3. Either way, I wouldn't be wishing to enter into this sector until I saw what was happenign next.

8. The stage of the S&P chart is still stage 2, though the volume is something to obverse; it's falling slightly.

9. Would I buy this stock? The answer is No. The reason being that the price is below the moving average. I don't care what the rest of the sector, the market, the relative strength is - if it's below the moving average that is simply a big red light for me.

I certainlly wouldn't be buying this stock and if I had it I would be selling it now if I hadn't already sold it in December of 2012. This would have been my selling point because the stop would have risen to the bottom of the first dip after the rise to the next lower high in November. Then the price would have gone below that low in December and done through the moving average. In fact, I can't imagine my being still in this stock in April of 2013 and buying would be the last of my thoughts of this one.

Now, assuming I got out in December at about 28s, what would my progress have been? Ideally I would like to have got in in about March or April 2012 at around 14s Volime increased, rose above the recent high of August 2011, the Moving Average was rising at this time and was below the price.

This to me would have been a nine month holding which more or less doubled in that time. But I would be out and staying out now.

I'm curious to know what this stock is, I know it's not Ferrum Crescent for sure.

- Malc