v poor technicals, page-8

Accumulation and distribution over a longer period is the best method to buy and sell quality stocks. It is physically impossible to pick tops and bottoms and the above methodology works the best. My thoughts are that accumulation over a 4-6 week period at current levels can make someone very wealthy, especially when noting the extremely strong support on the chart in the 57-64c area and the very strong support in the market depth (2M shares) in the 50-56c area! At some stage I expect MGX to rally back into its trend channel the bottom at which is sitting at $1.15 area. Forecast 2009 fy earnings were well over AUD$100M and the recent drop in io prices have been substantially offset by the collapse of the AUD$. Current price fall is due to leveraged hedge funds trying to get out. The bounce when it comes will be substantial! A 23.6 fib retracement from current levels which is a weak bounce takes MGX up to the $1.10 area. MGX has lost over 70% in less than 3 weeks!