chart notes - try again

Here is the current daily chart for CCI



Lets take a quick look at the technicals - daily chart

In June, August and October the price failed to break through $0.017. This is now a point of significant resistance to CCI - although I dont have the daily VWAP figures handy, I do know that on the two large volume days on thurs and friday last week, the VWAP's were

Thurs - $0.018
Fri - $0.019

This is significant. The price has since retreated on small volume to settle at $0.017 - resistance has now become support. Support indicates measured consolidation by investors. Any large movements down from here on volume will indicate the price was being supported by traders.

This is a weekly chart of CCI



$0.02 is going to be very stiff resistance. Failure to honour this support at the beginning of 2005 means some very stale bulls will come out of the woodwork when the share price reaches these levels.

We dont want the share price advancing on small volume here. Essentially, would like to see volumes increasing with support forming at $0.018-$0.019, then an announcement of some sort to push the price through $0.02, then consolidate back on this level - long term resistance then becomes support. Large price movements on small volumes ends up in tears.

Conclusion - daily and weekly charts look good. Volumes are up and so is the share price. Support is evident.

Marchello