moving nicely, page-24

I see a reverse head and shoulders forming and where at the top of the head IMO.
Providing there is no more down grades I think im ok,plus oz dollar pulling back will help.
Both STO and PRG are quality and generally with all things being even,will only suffer cycle declines.

I am fully aware of the falling knife syndrome,but will only try to catch it if its just a profit down grade due to economical changes. Then ill check the charts for an entry level,and $1.96 was it,and your right about only a small bounce probably 15%,but with margin 35%.Then another little correction and probably will consolidate around $2.20 depending on outside market conditions.

I did exactly the same thing with PRG but made a mistake when reading the chart as the previous bottom was $1.61 and I rushed my research thinking it was $1.77 and bought my first lot at $1.83 after it bounced.
Then sure as hell it wen't down to $1.61 the next day and bought in again at $1.63 before a retrace back to $2.

Then PRG gave the market another unexpected down grade which was a surprise by all holders and it dropped very quickly down to around $1.20's level.So I just accumulated more,and again when PRG dropped out of consolidation mode to around $1.40 I bought some more again.

As a result,I made around 45% with leverage possible more I wont know exactly until Tax time.
Will I do it again with OST no because I believe the next level of support will be around $1.40 mark and that will conclude a double bottom,so ill take a 5% loss and buy back in later.

A rule of thumb with me is Ill only average down if the companies been around for a long time and earning reports are close to the mark like 5%.
Strong balance sheet as well,and positive cash is a must.


Sorry to go on a bit but felt PRG example was a good way of explaining my methods.

These are the methods I use so please trade in your own comfort zone.