Short Term Trading Weekend Lounge: 5 - 7th August, page-130

STTCOMP HCH, TA LONG

Hot Chilli Limited (HCH), M/c $28 mil, Cash $221k + $3.6mil (placement recently) = $3.8 mil, Debt facility used $6.5m USD
Co based in Applecross WA, Main focus is the "Productora" Copper / Gold project in Chile

The chart shows the following:
- Down trending stock for the last year
- Massive volumes have been entering the stock in the last month, especially in the past 4 trading sessions
- 5 base or floor in the last few weeks, appears to be support
- In the past 4 trading sessions where volumes have been very high, the first three of these four trading sessions the price did not move up.  It is key to note today that the price moved off the support of 5 and up to 5.5 (high 5.7).  This is important as it suggests to me that supply is easing in low 5 level or that the buyers are becoming more aggressive.  It is also bullish that the volume today was very high to accompany that green candle
- Possible reversal underway