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Message: Recent Stock Behaviour

Recent Stock Behaviour

posted on Feb 16, 2010 12:47PM

Hi everyone,

I'd like to comment on the recent behaviour of the stock, as a few of you might be questioning the recent downtrend (last 4-5 days). On Feb. 9 we saw the stock exhausting its uptrend that started on Jan. 26. On this day, it gapped up, was unable to support these levels ($0.30), and closed where it did the day before. Since this day, we haven't seen the stock make any new highs, only lower lows. I suspect the stock was slightly overbought and will continue this downtrend for a short while longer. However, I don't see the stock going below $0.24.

Today, notably, the stock gapped down in the morning. This confirms the prior downtrend signalled on Feb. 9, but could also be the END of this downtrend if the stock gaps up tomorrow morning and has an up day.

I would urge those who have shares in the company who are waiting for news to HOLD their shares during this slight correction. I would also like to mention that we might see a significant one day drop in the stock before the news comes. This happens sometimes to allow for the big boys to get in at a lower price and take further advantage of the coming news. If there is low volume on this price drop, you can be more confident that stock is being manipulated. For an example, take a look at the chart of TPL.TO. I have removed my stop loss from GNH and would urge those who are shareholders waiting for the news to consider the same.

Happy investing,

Y

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