3SOF

CHDT(otcbb) - China Direct Trading Corp.

Mkt Cap:                                43.99M
Shares Outstanding:                548M

Profile:
(http://www.3stocksonfire.org/stockcharts/CHDT%2006-27-2006%20002.JPG)

Company Website (http://www.chdt.us/)[/url]


What makes this stock "On Fire"?

An amazing quarter, huge sales growth, roof-tile product just made it through testing with high grades, hurricane season, near all time high on high sustained volume... this stock is ready to run.  Check out the recent news:

QuoteChina Direct Trading Corporation Reports First Quarter FY2006 Results
Monday May 15, 8:47 am ET
Q1 FY2006 Revenue Increases 1229% Over Q1 FY2005 Results On Cash Basis; Total Generator Contract Sales Orders In Q1 FY2006 Hit $4,219,220
http://biz.yahoo.com/iw/060515/0129191.html

""China Direct is in an exceptionally stronger financial position now than in FY 2005 -- revenues are growing at an accelerating rate, our cash position is solid, and receivables are growing with final generator delivery and contract completion," said Howard Ullman, CEO/President of China Direct. "In Q1, we had much higher costs in association with completing the acquisition of CPS and we will continue to strive to drive cost efficiencies to hasten increased profitability. Based on current sales, we expect to see a continuing acceleration of generator sales activity through the second quarter of FY2006.""

QuoteChina Direct Reports $4.8 Million in April & May 2006 Generator Sales Contracts a 3,800% Increase over 2005 Sales
Wednesday June 7, 7:35 am ET
Results for First Two Months of Second Quarter Exceed Entire First Quarter Contracted Generator Sales
http://biz.yahoo.com/prnews/060607/nyw051.html?.v=53

CPS (http://www.completepower247.com) is a majority-owned subsidiary engaged in turnkey solutions for standby commercial and residential power generation.

"Consumer demand continues to run high for Complete Power Solutions' generators and we have invested in the inventory and installation personnel qualification that will enhance CPS' ability to fill generator sales contracts in a timely manner," said William Dato, CPS President. "CPS proprietary pre-formed low-vibration generator slabs have proven to be an extremely popular sales item to other standby power providers," he added."

QuoteChina Direct Clay Roof Tiles Pass All Tests with Superior Results
Monday June 26, 8:38 am ET
No-Maintenance Glaze Imported Clay Tiles Offer Superior Strength and Style
http://biz.yahoo.com/prnews/060626/nym134.html?.v=53

"Upon receipt of Dade County's NOA the company can then sell tiles in Dade and Broward Counties where homeowners are waiting one year for tile deliveries. At current production capacity OBS can deliver up to 2.5 million tiles per month at an average price of $2.00 each."


Technicals
We wouldn't even look at the freat fundamental story for this penny if it didn't have good technicals.  Lucky for us the technicals look amazing.  

All History Chart  - On the ALL-History Weekly Chart you can see that CHDT is about to attack its all time-highs.. and volume has come in strong to back this move.

(http://www.3stocksonfire.org/stockcharts/CHDT%2006-27-2006%20003.JPG)

----------------------------------------------------------------------

7-month Chart   - On the 7-month daily chart you can see we are picking up CHDT at ascending channel support.  Support is coming in from rising moving averages.  Volume is heavy and steady.. and ripe for creating a price explosion.

(http://www.3stocksonfire.org/stockcharts/CHDT%2006-27-2006%20004.JPG)


We will buy CHDT on Wednesday 6/28

For more information on this company go to: http://www.chdt.us/

Basically, this company is engaged in three products: glazed clay roof tiles; generators; and souvenirs. The roof tiles and generators are basically knock-off's of other products at probably Wal-Mart like dirt-cheap prices. I was not able to get to the souvenire web link since the page didn't seem to work. Is this a bad sign?

I looked at their roof tiles, and sorry, but I really don't see this product taking off here in the U.S. Most roof tiles sold in the U.S. are either asphalt shingles or unglazed concrete tiles. Glazed clay roof tiles are really a specialty product.

With the price of this stock being so cheap I'm sure it will have a great run with some hype, but long term, I doubt there will be much to write home about unless the holding company expands its product line to include other consumer goods than specialty or niche items.

Got in at 0.084 this morning.  Nice little run to close at the HOD on higher volume, nice way to start the first day with this stock.  Nice also to see a new hot penny back in the 3SOF portfolio  :D

Quote from: tokyopua on June 28, 2006, 04:04:11 PM
Got in at 0.084 this morning.  Nice little run to close at the HOD on higher volume, nice way to start the first day with this stock.  Nice also to see a new hot penny back in the 3SOF portfolio  :D

Nice buy Toky  :)..  that momentum at close was very interesting!  :o

-------------

update CHDT:

We bought into CHDT today and the stock had a strong close as volume started coming in.  Always nice to start the trade off with a gain.  We also had this news item:

QuoteChina Direct to Be Featured on MN1.com Interview
Wednesday June 28, 9:31 am ET
http://biz.yahoo.com/iw/060628/0139983.html

[/b]

Everyone is excited to hear exactly how good this quarter is going.. and about future plans for CHDT... perhaps the CEO will discuss this on Friday.  >:D

------
Position: bought CHDT @ 0.085 on 06/28/2006
Order: Hold
Exit: n/a
------

update CHDT:

Crazy day for CHDT as it started of the morning with a gap up because of this news:

QuoteChina Direct to Launch New Complete Power Subsidiaries in Miami and Naples, Fl
Thursday June 29, 7:55 am ET
Chairman Loans $250,000 for Quick Expansion
http://biz.yahoo.com/iw/060629/0140360.html

The stock proceeded to its all time high and channel resistance @ .105 on heavy volume(up volume eclipsed down volume) but then retreated to close even for the day on light volume.

The perspective we can take on this is CHDT is seeing heavy volume near its all-time high.. 1st attempt was rejected.. but this doesnt mean we wont have a 2nd attempt be successful.  In fact these kind of moves can betray an eager buyer.. perhaps we will see another attack on the high with the CEO interview tomorrow?

Personally I believe that CHDT is 1 of the 2 strongest penny stocks out there right now(XKEM being the other one).  CHDT has enormous sales growth.. the stock in my mind is at least a double without much work.. but if the proper components fall into place we could run for $1(over 5 bagger) and another exchange. 

------
Position: bought CHDT @ 0.085 on 06/28/2006
Order: Hold
Exit: n/a
------

update CHDT:

------
Position: bought CHDT @ 0.085 on 06/28/2006
Order: Hold
Exit: n/a
------

update CHDT:

Great Interview from the current CEO!  The following link will allow you to listen to the mn1 interview in mp3 format.
http://www.mn1.com/mp3/CHDT.mp3


This news is very promissing $$$  ;)
http://biz.yahoo.com/iw/060703/0141085.html

QuoteChina Direct Seeking to Expand Generator Subsidiaries Outside of Florida
Monday July 3, 7:20 am ET
[/b]

COOPER CITY, FL--(MARKET WIRE)--Jul 3, 2006 -- China Direct Trading Corporation (OTC BB:CHDT.OB - News) announced recently the expansion of its power generator sales operations into Miami and Naples/West Florida with two new sales operations. The expansion is prompted by the strong sales performance of CHDT Complete Power Solutions (CPS) power generator sales operations in the northern Miami region. The new operations will be open in the upcoming weeks. CPS will provide sales, product, and engineering support to the new operations.


Howard Ullman, China Direct CEO & President, said, "CPS is on track to generate a projected $20 million in gross revenue for FY2006 from its current base territory of two South Florida counties. The new Miami operation will expand our market reach from South Broward to Dade and Monroe counties and new Naples/West Florida operation will cover the Florida West Coast from Naples to Ft. Meyers. We have developed a solid and proven sales model and we will continue to expand our operations throughout the state of Florida followed by expansion into other states. Currently, we are endeavoring to open a sales operation in California, Mississippi, New Jersey, Virginia, Maryland, Pennsylvania and the Washington, D.C. metropolitan region, which has two of the richest (per-capita) counties in the nation and a steady economy anchored by the Federal Government. We are enthused with the opportunity to expand our market and enjoy the economies of scale and the dynamics inherent in an expansion at this level."

CHDT will own 60% percent of each of the new operations with licensees owning the remaining 40% and financing the startup. CHDT will consolidate 100% of all financials of its subsidiaries. CPS (www.completepower247.com) is a majority-owned China Direct subsidiary engaged in turnkey solutions for standby commercial and residential power generation. For more information from China Direct on becoming a licensee contact Rich Schineller at 941-918-1913 or [email protected]:

China Direct (www.chdt.us) is a holding company engaged through its operating subsidiaries in the following business lines: Overseas Building Supply (OBS) is engaged in manufacturing, distribution and logistics of building materials including but not limited to generators, roof tiles, interior doors, and insulation materials. CPS, (www.completepower247.com) is a majority-owned subsidiary engaged in a turnkey solutions for standby commercial and residential power generation. Souvenir Direct Inc. (SDI) (www.souvenirdirect.com) is engaged in product development, manufacturing, distribution, logistics and product placement into mass retail of souvenir and gift items in 29 countries. None of the web site URLs listed in this press release are incorporated into or are part of this press release.

FORWARD-LOOKING STATEMENTS: This press release, including the financial information that follows, contains "forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995. These statements are based on China Direct's and its subsidiaries' managements' current expectations and assumptions, and involve risks and uncertainties. Such expectations and assumptions may prove to be faulty or incorrect. Actual results may differ materially from those anticipated results set forth in the statements. The forward-looking statements may include statements regarding possible expansion of markets, sales projections, prospects of new operations, future consumer demand, future product orders, product development, product potential or financial performance. No forward-looking statement can be guaranteed, and actual results may differ materially from those projected. China Direct undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise. Forward-looking statements in this press release and risks associated with any investment in China Direct, which is a "penny stock" company, should be evaluated together with the many uncertainties that affect our business, particularly those mentioned in the cautionary statements in current and future China Direct SEC Filings, which statements we incorporate by reference herein.


Contact:

     Contact:
     Rich Schineller
     941.918.1913
     [email protected]

------
Position: bought CHDT @ 0.085 on 06/28/2006
Order: Hold
Exit: n/a
------

http://biz.yahoo.com/iw/060706/0141711.html

Projected Q2 revenues up 2300%, making CHDT a stock EN FUEGO this morning!

Yeaaaahhhh Baby!   CHDT has gone loco crazy on fire now on mucho grande volume!!!  >:D >:D >:D

I kept holding a nice sized core position, but also had a trading position because the channel seemed so well defined.  Sold that on Friday at HOD .103 and patted myself on the back, but wish now I had seen this breakout coming lol and held that smaller position too.  But still, very very happy with this.

EliteG, you said there would be new hot pennies to come, and you delivered, applause to you!!!

I'm out for the time being.Just sold will wait to reenter
Thx Elite G for this thread

jorgegr

Quote from: tokyopua on July 10, 2006, 03:23:09 PM
Yeaaaahhhh Baby!   CHDT has gone loco crazy on fire now on mucho grande volume!!!  >:D >:D >:D

I kept holding a nice sized core position, but also had a trading position because the channel seemed so well defined.  Sold that on Friday at HOD .103 and patted myself on the back, but wish now I had seen this breakout coming lol and held that smaller position too.  But still, very very happy with this.

EliteG, you said there would be new hot pennies to come, and you delivered, applause to you!!!

Thanks toky  ;) - CHTD looks to be a monster now with a blue-sky breakout... solid fundamental backing.. pure fire!  >:D

Quote from: jorgegr on July 10, 2006, 04:01:36 PM
I'm out for the time being.Just sold will wait to reenter
Thx Elite G for this thread

jorgegr

I hope you get a chance to re-enter jorgegr  >:D.. great trade!


update CHDT:

The market is now becoming aware of CHTD potential!  Power move today that broke the stock into blue-sky territory.  This means that there is no over-head resistance, no unhappy investors and a heck of a lot of momentum.  This move is financially backed:

QuoteChina Direct Projected First Six Months Revenue Top 11,000,000
Monday July 10, 7:20 am ET
Contracted Sales Up 2300% Over 2005 Same Period Sales
http://biz.yahoo.com/iw/060710/0142431.html

COOPER CITY, FL--(MARKET WIRE)--Jul 10, 2006 -- China Direct Trading Corp. (OTC BB:CHDT.OB - News) today announced preliminary top line revenue for the first six months of 2006 ended June 30, 2006 of $11 million, an increase of over 2300 percent as compared to revenue of $465,000 reported for the first six months of 2005.

First six months 2006 results include $10,750,000 from the sale of power generators by Complete Power Solutions, LLC, a China Direct majority-owned subsidiary, (CPS). China Direct consolidates 100% of CPS' financial results into China Direct's SEC reported financial results. Actual financial results for this period may vary based on auditor and other adjustments to the final, SEC-reported financial results.

"China Direct is implementing on our vision and we are pleased with the outstanding progress our operating subsidiaries have made in terms of sales. For the second half of the year we look forward to seeing our new subsidiaries add to our revenue growth such as Overseas Building Supply with roof tiles and new Complete Power Solutions subsidiaries," said Howard Ullman, CEO/President of China Direct....

------
Position: bought CHDT @ 0.085 on 06/28/2006
Order: Hold
Exit: n/a
------

Good trade elite.

thinking of buying CHDT, should I wait for it to pull back? ???

Quote from: stocky on July 10, 2006, 10:10:57 PM
Good trade elite.

thx stocky  ;)

Quote from: elliemae on July 10, 2006, 10:22:53 PM
thinking of buying CHDT, should I wait for it to pull back? ???

Hi elliemae - I think CHDT can be a monster-mover now since there is potential for huge expansion on the business front.  With such a powerful candle and volume(and perhaps another news release).. a > 100% move is possible even tomorrow.  Very difficult to value a company with such potential:

1.  Current generator sales growing
2.  New propane based generators(may be 1st to market.. safer, quieter)
3.  Expanding generator business out of Florida(current numbers are just Florida)
4.  Roof Tiles will start to create a huge revenue stream(these should be high margin) 
5.  If we hear any news about a hurricane.. CHDT could explode.

So pullbacks should be very buyable.. but most likely tomorrow will see a gap up open - ok to buy if you are very very strict with your stop.  Lets not kid ourselves... this is a penny stock and one always needs to be careful(about dilution) but it is very rare.. and quite a gift to catch one in blue-sky territory.  These are the ones with potential to move exchanges.. and become bigger cap names.

I hope that a lesson was learned from CHID and GV and that 3SOF sets a trailing stop for CHDT.

Got in again a few mins ago at .13  lets see if the profit taking stops here or not,

jorgegr

This stock is unbelievable.  Good Find.    :-*

Triangle breakout starting on the 5 minute chart today at 3:30, this could get fun! >:D >:D >:D

Now that's dynamite!   WOW :o

thought I got in too early this morning at 0.144, but it turned out OK :)

update CHDT:

1 Bag Down.. 4 Bags to go!  >:D  :o  ;)

For some reason CHDT opened with only a tiny gap.. the market makers thought this was enough to kill momentum?  They will have to do better.. in fact these MMs(rookies) may have to take CHDT much higher(past what investors value the stock at) to get some selling.  It will be interesting to see what kind of gap we get tomorrow.. ;)

Volume is extremely bullish.. showing over $3million dollars traded.. but still below a climax move.  Strong accumulation signal. 

I have never been so afraid of losing a position in a stock before.. even with over a 100% gain now we are not looking to sell CHDT.  A blue-sky breakout of this magnitude shows a fundamental re-evaluation in process.  We have just begun.

------
Position: bought CHDT @ 0.085 on 06/28/2006
Order: Hold
Exit: n/a
------

Is anybody worried about a pullback here?

Quote from: danman3459 on July 12, 2006, 07:32:17 AM
Is anybody worried about a pullback here?

Hey danman - after a strong run there can be a profit taking pullback... but the thought here is we have a stock that has a completely new fundamental shift.  The TA proof is the all-time high breakout.

No one knew that generator sales would be in such demand(due to a law in Florida) and how quickly CHDT would be ready with roof tiles.  This stock went from a $2million dollar sale per year(trading around .03) to $50-$100 million dollars per year estimated(even more is possible).

So the idea is to try to hold through these pullbacks because CHDT is still seeking its level.  The quality of the pullback(how much support it shows with volume) can tell us a lot about where this stock is going.

Thanks, Elite.  That was a great answer.

It seems we have just held through the pullback... it's up again!  ;D

Some poor trader must have entered a limit sell order at 0.018 instead of 0.18, I saw it get filled for 25000 shares this morning.  Reminder to self:  keep eyes open as wide as possibke and check, double check, and triple check the order you enter!!! :o

Quote from: tokyopua on July 12, 2006, 11:47:55 AM
Some poor trader must have entered a limit sell order at 0.018 instead of 0.18, I saw it get filled for 25000 shares this morning.  Reminder to self:  keep eyes open as wide as possibke and check, double check, and triple check the order you enter!!! :o

I did that once.  Really Kicked Myself.  Kinda like when I sold this stock at .164 this morning and have reentered at .18.  Damn.  I was hoping to catch a downturn.

last but hopefully not least I am also in; couldn´t undertand how this top pick wasn´t on my radar before  >:(

any targets on this one...or does a blue sky mean a BLUE SKY??

i took a small position on this one at ave. of $0.1865 an hour or so back.

been a while since I had some penny stock winners  >:( would love to roll on this one.

excellent work eliteG...applauds to you.  ;)

I sold out at $.193 today  :o

I wonder if we have another PTSC on our hands here though - you can bet if I can buy back in in the $.17-.18 range I will.

* Hard to believe we are already at yesterdays volume and still 3  hours to go -- the last few days, much of the buying came in the last hour.  I have a feeling I better re-establish a position in this, because with the volume we just had buying over $.20, I think were going to attack $.30 late today or tomorrow!

ANybody have any insight on that shoot up to .235 then back down to .19?

I think it's just a steep pullback - profit taking and maybe some MM manipulation.

I think were going to close near HOD.

Quote from: danman3459 on July 12, 2006, 02:14:09 PM
ANybody have any insight on that shoot up to .235 then back down to .19?

Probably just profit taking, I expect a bounce here soon near support on the 5 minute chart at 0.18

the breakout point a couple of days back was $0.105 level...considering that was major resistance on a multi year chart like Elite G had shown, I'm looking at atleast a run to $0.30 levels short term...followed by consolidation, and if fundamentals show good reason, a run to $1.00

hey...reminds me of the PTSC and XSNX runs in the recent past.

having said that, i added a few more at $0.19 on the way down... :)

Quote from: vic666 on July 12, 2006, 02:34:50 PM
the breakout point a couple of days back was $0.105 level...considering that was major resistance on a multi year chart like Elite G had shown, I'm looking at atleast a run to $0.30 levels short term...followed by consolidation, and if fundamentals show good reason, a run to $1.00

hey...reminds me of the PTSC and XSNX runs in the recent past.

having said that, i added a few more at $0.19 on the way down... :)

Heh, I added too at 0.19.  Tried to hit 0.18 as I saw that was going to be support, but my order didnt get filled and I had to chase a bit. 

Quote from: Loffigus on July 12, 2006, 02:22:52 PM
I think were going to close near HOD.

You still think so?

Quote from: danman3459 on July 12, 2006, 03:33:07 PM

Quote from: Loffigus on July 12, 2006, 02:22:52 PM
I think were going to close near HOD.

You still think so?

Nope.  :-\

here's my prediction...i'm looking at the 3 day trading pattern here.

clearly, there is an ascending trendline formation, and I've observed that when a penny stock runs fast (steep angle) during intra-day, it almost always fall back to it's ascending trendline withing a day or two...before resuming it;s uptrend. of course, that also establishes that a strong sutained move upwards is in place, because it gives old traders to sell on the rise and probably on the pullback, and new traders to establish positions at support levels.

having said that, it's heartening to see that today's afternoon pullback is almost close to the ascending trendline, $0.175 levle is the actual ascending line support (don't hold me to the 3rd decimal place however).

for tomorrow, I expect this stock to test the ascending trendline, and then rise back up in a slow steady pattern. tomorrows low and hig will be withing today's numbers and we should see a small candlestick...and another similar small candle on friday, with the high on friday approaching today's high, and then monday, I figure we breakout once more.

well, we'll all know if my theory is right in the first few hours tomorrow morning.

considering the multi-year breakout from $0.105 level, I'd bet my chances this uptrend has long legs.  ;)

update CHDT:

We had some profit taking today in CHDT.. and this may help the stock in the long-run.  Traders who are here for the short-term got to sell and the stock still gained over 5%.  CHDT may be due for some consolidation as it tries to chew through the upper shadow resistance.  Volume was heavy.. as it seems more and more traders are learning about CHDT.

Perhaps it will take a news release to remind traders that CHDT has enormous potential.  Lets take 1/3 off the table so that we can more easily hold through any pull-backs.  Of course we would like to sell this portion as high as we can get.. so lets see what the market gives us tomorrow.

We  feel CHDT has multibag potential and want to make sure not to lose our core position.  This partial sell will only be reflected correctly in the closed trades section.. the open trades section will still calcualate the full postion.

------
Position: bought CHDT @ 0.085 on 06/28/2006
Order: Sell 1/3 position and Hold the rest
Exit: n/a
------

China Direct Forms Complete Power Solutions of Miami Subsidiary
Thursday July 13, 7:20 am ET

COOPER CITY, FL--(MARKET WIRE)--Jul 13, 2006 -- China Direct Trading Corp. (OTC BB:CHDT.OB - News) ("China Direct" or "CHDT") today announced that it has signed a 20-day letter of intent with, and has received a $50,000 good faith earnest money deposit from minority investment partners, to form its second new power generator sales subsidiary: "Complete Power Solutions of Miami" (CPSM). CPSM will sell power generators in Southern Broward and Dade counties of Florida, which include the cities of Miami, Miami Beach, Coral Gables, Westin, Hollywood, Dania, Hialeah and South to Key Largo. We expect CPSM to fully operational by August 15, 2006.

The minority investment partners include: (1) Michael Burchell, Ben Walker, and Joe Cangiano, who combined have some 60 years of extensive experience in electrical contracting and excavation skills (such skills are necessary for the expeditious installation of new power generators and support of overall CPS business statewide); and (2) Howard Ullman and Jeff Postal, who are the CEO/President/Chairman of the Board and a director, respectively, of CHDT. The minority partners will contribute a total of $300,000 in start-up capital to launch CPSM. CPSM will purchase all of generators, cement slabs, and engineering services from CHDT's majority owned subsidiary, Complete Power Solutions, LLC, Pompano Beach, and Fl.

"The formation of CPSM follows our current business model of expanding the geographical market for our power generator sales operations by forming new majority-owned subsidiaries with local investor/partner groups. We are currently seeking and interviewing potential future partners and doing regional market assessments in Florida, The Gulf Coast and the Northern Virginia-Washington, D.C. region to determine where and when new subsidiaries might be launched. Our goal is to establish three to six new power generator subsidiaries this year," said Howard Ullman, CHDT CEO/President.

RADIO INTERVIEW: Howard Ullman will be featured in a live radio interview on www.MN1.com at 9:00 am Eastern Time today, Thursday, July 13, 2006. MN1 is a leading microcap investor media portal and interested parties may go to www.MN1.com and download the free player that will allow them to listen to the interview. The live broadcast is available to anyone at any computer connected to the Internet.

http://biz.yahoo.com/prnews/060717/nym119.html?.v=40

China Direct Trading Corp. Receives Chinese Roof Tile Approval NOA (Notice Of Acceptance) No: 06-0407.05 Effective July 20, 2006
Monday July 17, 8:30 am ET

COOPER CITY, Fla., July 17 /PRNewswire-FirstCall/ -- China Direct Trading Corporation (OTC Bulletin Board: CHDT - News), a U.S.-Chinese trading company, today announced that its subsidiary, Overseas Building Supply, LLC (OBS), received a Notice of Proposed Action from the Dade County Product Control Division, which governs the product review process in Dade and Broward Counties, Florida. The Notice, dated June 30th, is a 20-day approval notice for OBS' clay double roll roofing tile No. 06-0407.05. Unless objections are raised by any member of the Board of Rules and Appeals, which overseas the issuance of all NOA's, on or before July 20th, the roofing tiles will be eligible for sale. OBS has also been provided the five page NOA document which soon will be available online at http://www.chdt.us . This grants OBS the exclusive right to import and sell these clay roof tiles.

ADVERTISEMENT
click here
Subject to no objections from the Board of Rules and Appeals, OBS will start taking orders from roofers, tile distributors, home owners, and retailers on July 20th for Goods starting to leave on August 15th and the first delivery in the U.S. on September 10th . For information on roof tiles contact Howard Ullman at 954-252-3440.

OBS has entered into an exclusive distribution agreement with a China Ceramic Tile factory. The factory has been in operation since 1986 producing high quality roofing and floor tiles with 15% of its annual production going to export. The factory has 90 new machines imported from Spain and Italy producing a Chinese brand known as Minnan. The ISO9001 rated factory has 1,256 workers in a 200,000 square meter facility. Total annual production capacity is twenty million tiles. The factory can expand its production facility if and when demand dictates.

About China Direct: China Direct (http://www.chdt.us) is a holding company engaged through its operating subsidiaries in the following business lines: Overseas Building Supply (OBS) is engaged in distribution of building materials including but not limited to roof tiles, interior doors, and insulation materials. CPS, (http://www.completepower247.com) is a majority-owned subsidiary engaged in a turnkey solutions for standby commercial and residential power generation. Souvenir Direct Inc. (SDI) is engaged in product development, manufacturing, distribution, logistics and product placement into mass retail of souvenir and gift items in 29 countries. None of the web site URLs listed in this press release are incorporated into or are part of this press release.

FORWARD-LOOKING STATEMENTS: This press release, including the financial information that follows, contains "forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995. These statements are based on China Direct's and its subsidiaries' managements' current expectations and assumptions, and involve risks and uncertainties. Such expectations and assumptions may prove to be faulty or incorrect. Actual results may differ materially from those anticipated results set forth in the statements. The forward-looking statements may include statements regarding consumer demand, product orders, product development, product potential or financial performance. No forward-looking statement can be guaranteed, and actual results may differ materially from those projected. China Direct undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise. Approval of products by governmental authorities does not mean that the products will be accepted by consumers or produce any revenues or profits. Forward-looking statements in this press release and risks associated with any investment in China Direct, which is a "penny stock" company, should be evaluated together with the many uncertainties that affect our business, particularly those mentioned in the cautionary statements in current and future China Direct SEC Filings, which statements we incorporate by reference herein.

update CHDT:

CHDT started Monday off great with a gap and climb(approached the recently made all-time high)  but then sold off as it tried to close its gap.  The candle produced  has a long shadow that portrays a 2nd price rejection of the over .20 price in 4 days.  The high position of this candle(the highest close ever) and the solid volume could setup a powerful move in the next few days. The key is a penetration of .20 zone... and I would guess that if this happens tomorrow CHDT will close above .25.

Most technicians would consider this candle a "momentum killer" but due to its position, above past price ranges, and the great fundamentals behind CHDT the stock should not be down for long.  A dip to the .15-.16 area may be a good zone to add or start a position.

A consolidation in this zone would indicate investors want to hear more numbers before running the stock higher.  Numbers are exciting simply for work inside of Florida.. but now with expansion outside as well as other sourcing revenue, CHDT may become the stock to own of 2006.  With continuing solid execution by management and no plans for dilution.. it is hard to find a better penny stock to own out there.

------
Position: bought CHDT @ 0.085 on 06/28/2006
Order: Hold
Exit: n/a
------

hi,
here is mho on chdt.
with a 100% profit on this stock why not take it on this market?. i know you have sold 1/3 of the position but this is no longer a "stock on fire" imo.
the idea that there is blue skies ahead for a stock is tempting but fanciful and one of the major mistakes we make in the stock market for short term traders. talk of to the moon and blue sky break out. (i.e. chid brvo gv.and plenty of others that i have traded and lost). fundamentals don't matter in the short term .only the tech indicators will show the way for the stock. then the human will follow.
the indicators are turning bearish for this stock . lower tops lower bottoms. macd turning over dmi fight between the bulls and bears.
so why not lock in profit while you can? this is a public portfolio based on "stocks on fire"
100% is burning. but the flame can go out just as quickly.
remember it is not a profit until it's in the bank.
just my humble opinion . ( now after that rant this stock probably will sky rocket :D)
glta still holding
maxi

with most penny stocks...short term strategy is the best...get a profit, sell and move on. biggest reason behind that is most pennies have no revenues or earnings and almost always move on some hyped up news or some other trading group pumping it or moving it "en mass"

Having said that, there are some rare pennies out there that have some real business model, that do generate revenues and earnings and have soemreal growth story behind them. and those r the ones that you can take a calculated risk on and decide to hold longer than most pennies, instead of flipping daily.

my opinion, based on the DD from Elite G's posts as well as my own, tells me this is one to buy and hold.

right now I see the chart in a sideways trading pattenr between $0.15 and $0.23...there is a slight ascending nature to the pattern, but there has never been a close above $0.20, which is what I'm looking for a s the first sign to a sustained strong move upwards. then comes the resistnace at $0.235 which wehn taken out, will really get this thing moving again, IMO.

u may do as you please, of course...but I beg to differ on your opinion.

good luck.

Quote from: rickjust on July 18, 2006, 04:48:36 PM
hi,
here is mho on chdt.
with a 100% profit on this stock why not take it on this market?. i know you have sold 1/3 of the position but this is no longer a "stock on fire" imo.
the idea that there is blue skies ahead for a stock is tempting but fanciful and one of the major mistakes we make in the stock market for short term traders. talk of to the moon and blue sky break out. (i.e. chid brvo gv.and plenty of others that i have traded and lost). fundamentals don't matter in the short term .only the tech indicators will show the way for the stock. then the human will follow.
the indicators are turning bearish for this stock . lower tops lower bottoms. macd turning over dmi fight between the bulls and bears.
so why not lock in profit while you can? this is a public portfolio based on "stocks on fire"
100% is burning. but the flame can go out just as quickly.
remember it is not a profit until it's in the bank.
just my humble opinion . ( now after that rant this stock probably will sky rocket :D)
glta still holding
maxi

I think your opinion is really right on for many stock selections maxi  ;).. but I agree with vic666 on this one.  CHDT is a must own both technically and fundamentally.  I think this will become clearer when we get a news release about actual numbers.  I know it is difficult to hang on.. but that is why we sold 1/3.. just to make it easier to hold.  Still above the 9 and 20ema... stock is on FIRE.. just looking for more fuel now.

hi,
thanks for the reply.
i hope you are right on this one and i will be happy to eat my proverbial hat!. glta today :D
maxi

Ok, interesting that we are down 20% on extremely heavy volume...
Has something changed with the recent news today?
------------------------
U.S. Equity News: China Direct Trading Corp. Receives Chinese Roof Tile Approval and J. Ray McDermott to Install Australia's North West Shelf Angel Jacket


By M2
Last Update: 7/19/2006 8:09:50 AM Data provided by 

Jul 19, 2006 (M2 PRESSWIRE via COMTEX) -- City of Industry, CA - Construction industry alert provided by U.S. Equity News. China Direct Trading Corporation (CHDT), a U.S.-Chinese trading company, recently announced that its subsidiary, Overseas Building Supply, LLC (OBS), received a Notice of Proposed Action from the Dade County Product Control Division, which governs the product review process in Dade and Broward Counties, Florida. The Notice, dated June 30th, is a 20-day approval notice for OBS' clay double roll roofing tile No. 06-0407.05. Foster Wheeler Ltd. (FWLT) plans to hold a conference call on Wednesday, August 9, 2006, at 11:00 a.m. (EDT) to discuss its financial results for the second-quarter of 2006. The company expects to release the results the same day, before the market opens. The call will be accessible to the public by telephone or Webcast. To listen to the call by telephone in the United States, dial 888-262-9189 (conference I.D. No. 7638962) approximately ten minutes before the call.

McDermott International, Inc. (MDR) announced recently that a subsidiary of J. Ray McDermott, S.A. ("J. Ray") was recently awarded a contract by Woodside Energy Limited, operator of the North West Shelf ("NWS") Venture, valued at approximately $200 million, for substructure and pipelay installation for the Venture's $1.2 billion Angel platform development. The Ryland Group, Inc. (RYL), will release second quarter earnings on Wednesday, July 19, 2006, before the market opens. The conference call also will be held on Wednesday, July 19, at 9:00 a.m. PDT (noon EDT). The dial-in number is (800) 274-0873, or (719) 457-2684 for international callers. Participants may call in beginning at 8:45 a.m. PDT.

EMA 20 is holding  8)

Hope the 20 EMA holdsout otherwise next support is ~9 (confirmed three times)

jorgegr

it's confusing atleast to me on whether to use the EMA or DMA...for CHID, it bounced off nicely off the 20 EMA at $0.13, albeit not too far off, but the 20 DMA is at $0.12

which one has more weightage? i understand the EMA sort have more weightage on recent price action, which is why it's always higher thana DMA in an uptrend and lower than DMA in a downtrend.

anycase, i'm in CHDT and waiting patiently for it to bust thru' that $0.235 resistance level.

I think CHDT was overbought several days ago. may be it will furthur retrace back

Quote from: rickjust on July 18, 2006, 04:48:36 PM
hi,
here is mho on chdt.
with a 100% profit on this stock why not take it on this market?. i know you have sold 1/3 of the position but this is no longer a "stock on fire" imo.
the idea that there is blue skies ahead for a stock is tempting but fanciful and one of the major mistakes we make in the stock market for short term traders. talk of to the moon and blue sky break out. (i.e. chid brvo gv.and plenty of others that i have traded and lost). fundamentals don't matter in the short term .only the tech indicators will show the way for the stock. then the human will follow.
the indicators are turning bearish for this stock . lower tops lower bottoms. macd turning over dmi fight between the bulls and bears.
so why not lock in profit while you can? this is a public portfolio based on "stocks on fire"
100% is burning. but the flame can go out just as quickly.
remember it is not a profit until it's in the bank.
just my humble opinion . ( now after that rant this stock probably will sky rocket :D)
glta still holding
maxi

Wish I had sold when you said, worst case I could be buying back here below .1...  :'(

Quote from: rickjust on July 18, 2006, 04:48:36 PM
this is no longer a "stock on fire" imo.
the idea that there is blue skies ahead for a stock is tempting but fanciful and one of the major stock . lower tops lower bottoms. macd turning over dmi fight between the bulls and bears.
so why not lock in profit while you can? this is a public portfolio based on "stocks on fire"
100% is burning. but the flame can go out just as quickly.
remember it is not a profit until it's in the bank.
just my humble opinion . ( now after that rant this stock probably will sky rocket :D)
glta still holding
maxi

hi,
will this just disappear back into penny land? fire is out on this one. no buying interest. didn't think this would sell off like this.
this will need massive news to get some momo. as i said earlier. that is the thing with pennies. they have a very short life span of a few days. will this drift below 10? already the bid is 99.
.just hit it as i write,
glta
maxi

I absolutely agree with Maxi: I lost all my profits on GV, GSHF, IVHG and now this pathetic CHDT. Good stocks fall, bad stocks do fall even more. I think one needs a pesimistic view on trading. Once things begin to appear rosy, the bad luck hits.

EliteG makes great picks, he just does not account for general market, like David Randolph was trying to do, and does not sell based on a short-term strategy.

Like Maxi noted, why not cash in when you make 140% and give the stock a chance to develop further while you stay away and simply observe? Hesitation to sell is what made me pare with all my gains and go below the waterline. I really have been relying on these guys and they do have a great potential, but they need to tighten their trading rules and become more pragmatic rather than idealistic.

C'mon, Elite, make us some dough, I know you can!!!

Berloga.

I agree 3stocks do make some great picks but their timing is sometimes really bad. (Getting out of chdt and chid) and selling stocks to early. A good recent example is BBC The buy was around $14.25 a little too high and was stopped out at $12, which is the current bottom of the base, it is now $12.75. (I watched and waited and just bought some recently in the low 12s). BBC is expected to earn  $1 this year and about $2 next year and has a huge conteact for next year already signed, I would of never heard of BBC without 3Stocks. I use 3stocks to come up with potential candidates and then I choose among them and decide on my own entry point. This strategy has been very successful for me so far.

 ??? EMA 50 as final support ?

Lots of buyers at these bargain basement prices. 8)

Not helping the share price much yet.

China Direct Trading Corp Receives NOA for Chinese Roof Tile
Thursday July 20, 10:14 am ET

Chinese Roof Tile Now Eligible for Sale Under Dade County Notice of Acceptance No: 06-0407.05

COOPER CITY, FL--(MARKET WIRE)--Jul 20, 2006 -- China Direct Trading Corporation (OTC BB:CHDT.OB - News), a U.S.-Chinese trading company, today announced that the imported Chinese Clay Roofing Tiles of its Overseas Building Supply, LLC (OBS) subsidiary are now eligible for sale under the Notice of Acceptance (NOA) from the Dade County Product Control Division, which governs the product review process in Dade and Broward Counties, Florida.
In accordance with the rules of the NOA, OBS may commence taking orders from roofers, tile distributors, homeowners, and retailers starting today, July 20th, for goods starting to leave on August 15th and first delivery in the U.S. on September 10th. For immediate information on the roof tiles, including photos and testing results proving superior strength and physical properties, visit www.chdt.us. To order tiles or for further information, call Howard Ullman at 954-252-3440.

OBS has entered into an exclusive distribution agreement with a China Ceramic Tile factory. The ISO9001 rated factory has 1,256 workers in a 200,000 square meter facility. OBS has secured annual production of twenty million tiles and the factory can expand its production facility if and when demand dictates.

I predict CHDT ends the day with a DOJI reversal star. ;D 8)

I've been wondering since July 14th (look at Rickjust's chart) that candle with an
abnormal booking at a ridiculous low price.
After that unusual event this stock changed its pattern.
Was it a warning of some kind to the market??
After that signal (you can read my previous messages here and in another new thread)
I started to day trade and was very lucky in selling on highs and reentering on
lows.  

jorgegr

Quote from: jorgegr on July 20, 2006, 11:01:27 AM
I've been wondering since July 14th (look at Rickjust's chart) that candle with an
abnormal booking at a ridiculous low price.
After that unusual event this stock changed its pattern.
Was it a warning of some kind to the market??
After that signal (you can read my previous messages here and in another new thread)
I started to day trade and was very lucky in selling on highs and reentering on
lows.  

jorgegr

That fat finger trade was probably a mistake, happens alot with these pennies.

Quote from: pompano on July 20, 2006, 10:54:29 AM
I predict CHDT ends the day with a DOJI reversal star. ;D 8)

I would be happy just to see a hammer, but I am rooting for the doji reversal, and even maybe closing up... going in the right direction at the moment!

A close at 0.12 would be a hammer, I would really really love to see at least that!

Quote from: pompano on July 20, 2006, 11:11:44 AM

Quote from: jorgegr on July 20, 2006, 11:01:27 AM
I've been wondering since July 14th (look at Rickjust's chart) that candle with an
abnormal booking at a ridiculous low price.
After that unusual event this stock changed its pattern.
Was it a warning of some kind to the market??
After that signal (you can read my previous messages here and in another new thread)
I started to day trade and was very lucky in selling on highs and reentering on
lows.  

jorgegr

That fat finger trade was probably a mistake, happens alot with these pennies.

I agree, I think somebody tried to enter a limit order at say 0.18 but accidentally entered .018 for example, and it got filled!  I posted about this earlier as a friendly reminder to all of us to be careful when entering orders with penny stocks because that decimal place can be easy to get wrong! 

In with you guys at .11 ;D

Hmmm, wonder who picked up 3 million shares at .1095.... Someone stocking up maybe?  :)  That's a pretty good chunk of change.

$328,500  worth of change. ;)

Maybe check the "Stockster" selection list in a few days...??

Reentered  again at 0.11

jorgegr

In at 10.7 but it's grinding lower. Thick layer of support between .09 and .10 - might add some if it slips into the 9's. Only playing for a bounce to ~15. I think there's a better chance of seeing zombies roaming the streets than seeing CHDT at .20 again in the next three months.

Quote from: Lucas Scott on July 20, 2006, 01:43:27 PM
In at 10.7 but it's grinding lower. Thick layer of support between .09 and .10 - might add some if it slips into the 9's. Only playing for a bounce to ~15. I think there's a better chance of seeing zombies roaming the streets than seeing CHDT at .20 again in the next three months.

Does that include in the movies?  I could put in Dawn of the Dead tonight if it would help!  ;D

I should have specified, zombies in the movie and zombies in video games don't count. Has to be real live undead zombies that will eat your brain if you get too close to them ;)

Maybe CHDT gets a better bounce tomorrow. 10 has been good support today.

Not much love in today's action.  If there is anything positive to glean after today it is that CHDT is sitting on triple support with a horizontal line, as Lucas mentioned, plus the 50ema and ascending trendline.  I'm not convinced that all of that will be enough to bring the love back but it's what we have to go on for now.  Momentum no longer exists for CHDT so unless God himself (or herself) starts buying some generators and roof tiles, only the patient investor willing to hold for a little while will do OK.  Or wait for a spike and SELL, SELL, SELL!!!!!!  It is sure to be volatile so the nimble trader - one much smarter than me - will be fine also.  This is all just my opinion so please take it for what it's worth and make decisions based on your own DD.

I think I'll mosey on over to Snowcat's Joke of the Day and cheer myself up.  :'(

it s crazy to enter a stock that sells with very high volume...and there is no reversal candle yet....furthermore i don t understand why 3sof not selling all at 0.2 and move on....i stopped looking at fundamentals (pennystocks) the same happened with chid, gv here. ...over 100% profit ... all disappeared..why not trade just momentum, especially in this market now. (only my opinion)

ket

the ema 9 didn t hold....

frustrating, really frustrating for this stock! I added a lot around 0.15 -0.16. any suggestions? thanks!

hey Ket - yeah I agree there is risk to buying today and I was tempted to close out my position before the close for a small loss. But most the volume came between .10 and .11 so there was an equilibrium between buyers and sellers there. CHDT dropped from .13 at the open to under .10 a half hour into the trading day on only about 3M shares (out of 43M for the day).

I don't look at fundamentals for pennies either. It's a waste of time. I only do it when I'm a bagholder and trying to find some silver lining (i.e. "it's down 80% but they have no debt so I'm not a total idiot for holding" - that sorta thing). A good case for NOT looking at fundamentals is PAIV. Cesar/David Randolph covered PAIV in May on his OTC site when it was at .005 and said it should trade at .001 based on fundamentals. Today it hit a high of .28. Say you put $5k into PAIV at .005. Today you could have sold your shares for over $250,000! David was probably correct in his fundamental analysis, but almost all penny stocks trade on momentum and not intrinsic value.

Again, at least learn from this 3SOF.  CHID, GV, and now CHDT.   Doubles turned into minimal gains (and in CHID's case--a loser).  Set a trailing stop after a nice gain.

There is no fun in being red. The good news about CHDT is that its very efficient at churning out 'news'. So we may see a bounce. I am not sure about CHDT fundamentals but you need to keep eye on Market Cap each time any stock make any parabolic moves. Neverthless, market is merciless so it would be unfair to expect that ppl who bought CHDT under 10 cents would be willing to give up their profits. I have no position in CHDT but would like to buy once the profit taking is over.

We had a lot of posts comparing this to CHID and GV, etc. but in this case we did prudently take 1/3rd off of the table.  So the net trade is still fairly profitable even if it were closed out today and thus it was different than CHID, for example. 

Elite G believes strongly in the fundamentals, but as we all know the market is always right, and it was a bit hard to predict this.  Long term the fundamentals could still win out and make this a multibagger, we are all just here looking at one week.  Or there is still the possibility of an XKEM like bounce where we can sell at .15.

My own personal mental excercise here is to imagine what I would be thinking if the stock had gone just from .085 where first bought to 0.1.  I wouldnt feel bad at all in that case.  I know this doesnt help for those who got in higher, its just how I am trying to look at this right now.

Elite G, hope to hear from you today on this one, it has had more attention than any stock we have had in a long time, and I for one sure dont know what to do!  ???

probably this news gives us some support:
China Direct Prevails in New York Legal Action
Friday July 21, 9:20 am ET

COOPER CITY, FL--(MARKET WIRE)--Jul 21, 2006 -- China Direct Trading Corporation (OTC BB:CHDT.OB - News) (China Direct), today announced Judge Richard M. Berman, U.S. District Judge for the Southern District of New York, ruled in favor of China Direct Trading Corp. yesterday, granting its Motion for Summary Judgment against Celeste Trust, Esquire Trade & Finance, Inc. and Investcor. The plaintiffs had sought their share of a $700,000 promissory note and 7,650,000 shares of stock in China Direct.

In March 2001, CBQ, Inc., the predecessor corporation for China Direct, purchased the assets of two wholly owned subsidiaries of Socrates Technologies, Inc., Technet and Networkland, and provided a $700,000 promissory note and 7,650,000 shares in escrow for eventual release to the purchasers. In a separate legal action in March 2001, the plaintiffs, and their other co-investors, settled with Socrates and agreed that the settlement would operate as a bar to any further claim on the assets of Socrates. In that action the plaintiffs accepted a payment of $1.5 million to settle their claim for their $3.5 million investment in Socrates.

Citing the well-known legal doctrine of res judicata, Judge Berman held that the prior final judgment on the merits against Socrates prevented Celeste and its co-investors from making any further claim against the assets of CBQ or its successors in interest (China Direct). In other words, the court held that the investors in Socrates should not be allowed to have "two bites at the apple."

The conclusion of this action will allow China Direct to remove from its balance sheet any contingent liability related to this matter.

"We are delighted that this litigation has been concluded in our favor," said Howard Ullman, Chairman and CEO of China Direct. "And the company wishes to thank Bart S. Fisher, its prior majority shareholder, for bearing the costs to settle this matter."

These last few 5 minute candles are looking promising.  Anybody agree?

Quote from: danman3459 on July 21, 2006, 10:38:43 AM
These last few 5 minute candles are looking promising.  Anybody agree?

They were looking promising as they were rising up, possibly from the news that la-onda posted.  That news in essence adds 700,000 dollars to the books of this company, it is one less liability they dont have to worry about.

WRT the candlesticks, I dont know what others here do, but in the first hour or so of trading, I am looking at 1 minute candles to try to see any trends.  Now around 11:30 I use 3 minute candles.  Looking at that chart, I can see why .106 acted as support from 11:18 to 11:27 because at 10:15 there was a gap up from .106 to .108 (support from gaps is a big Steve Nison candlestick principle).  On the 5 minute chart you wont see that as a gap.  Of course, no guarantees this "support" will hold even as long as it takes me to finish this post...

Then usually maybe around 1 PM or so I go with 5 minute charts more often.  That is just my preference, but I would be intrested to know how others view the charts during the day.  I might also view some 15 minute, 30 minute, and daily charts just to get a sense of things on a larger time scale.


Anyway, that is just my way of looking at things, would be interested in what others do.

Here are some bullish things about CHDT now:

1.) Unless we get a low below 0.95 today, the candlestick pattern forms a Tweezer Bottom reversal pattern
2.) .1 appears to be acting as closing support which makes sense from at least a psychological perspective
3.) Looks very likely that today's candlestick pattern will also be a Harami
4.) Good news today (see la-ondas post)

hi,
will it continue to drift lower with the occasional dead cat bounce? i think so.
unless there is massive news for this stock , like they just took over the world i can only see it returning to where the rally started. jmho ( i am willing to be wrong but so far it is not showing much strength)
restinance at 12 and 10.8
maxi

CHDT update:

Today's Candlestick Patterns:
Black Spinning Top
Bullish Homing Pigeon

http://www.americanbulls.com/StockPage.asp?CompanyTicker=CHDT&MarketTicker=OTC&TYP=S

Press Release   Source: China Direct Trading Corp.

China Direct Receives $2,500,000 Credit Line Commitment From Its Chairman
Monday July 24, 7:20 am ET

COOPER CITY, FL--(MARKET WIRE)--Jul 24, 2006 -- China Direct Trading Corp. (OTC BB:CHDT.OB - News) (CHDT) announced today that it has received a credit line commitment of $2,500,000 from its chief executive officer and president, Howard Ullman. The credit line is to be used solely to fund the cash portion, if any, of any CHDT acquisition or investment consistent with its strategic vision for the Fiscal Year 2006.

ADVERTISEMENT
CHDT has concluded that ownership of or investment in companies that are established distributors in the U.S. and potential distribution channels should be considered as part of the overall strategy to better exploit CHDT's contacts with over 30 Chinese manufacturing companies. As such, CHDT is seeking such investments or acquisitions opportunities funded in part by the $2.5 million credit line.

CHDT's Strategic Plan: CHDT has been engaged in an ongoing process of seeking investment or acquisition or merger opportunities with one or more companies that can potentially enhance CHDT shareholder value through increasing CHDT's revenues and net worth as well as possibly establishing a sustained positive cash flow. CHDT's board of directors is also committed to seeking possibly investing in or acquiring companies that could benefit from CHDT's contacts with Chinese manufacturing firms. CHDT's strategic plan has traditionally been to remain a trading company with low overhead and focused on exploiting its contacts with Chinese manufacturers to meet CHDT's customers' needs.

Under the credit line, CHDT has 4 years to repay any advances of credit, which repayment shall be made in calendar quarterly interest-only payments for the first 24 months of the term and equal calendar quarterly principal and interest installment payments for the last 24 months of the term. The interest rate is fixed at 8.0% per annum. Upon demand, the lender may convert all or a portion of any unpaid principal or interest into "restricted shares" (as defined in Rule 144 of the Securities Act of 1933, as amended) of CHDT common stock at a price of 0.10 per share. The commitment comes from the personal funds of Mr. Ullman, including funding based on a collateral arrangement encumbering 25 million shares of Mr. Ullman's CHDT common stock and 376,000 preferred shares.

About CHDT: CHDT is a public holding company acting, through its subsidiaries, as a distributor of commercial and residential standby power generators as a trading company focused on selling Chinese-made goods in North America, especially roofing tiles and promotional, souvenir and gift items.

FORWARD-LOOKING STATEMENTS: This press release, including the financial information that follows, contains "forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and involve risks and uncertainties, which may cause results to differ materially from those set forth in the statements. The forward-looking statements may include statements regarding product development, product potential or financial performance. The fact that CHDT seeks or consummates investments in or acquisitions of other companies does not mean that such transactions will favorably affect CHDT's business or financial conditions -- in general or as forecasted. In fact, investments and acquisitions could have an adverse impact on CHDT. No forward-looking statement can be guaranteed, and actual results may differ materially from those projected. CHDT undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise. Forward-looking statements in this press release and risks associated with any investment in CHDT, which is a "penny stock" company, should be evaluated together with the many uncertainties that affect CHDT's business, particularly those mentioned in the cautionary statements in current and future CHDT's SEC Filings, which statements CHDT incorporates by reference herein.


Contact:

     Contact:
     Howard Ullman
     China Direct
     954-252-3440
     

Source: China Direct Trading Corp.

Nice news today but not enough to hold gains through the day (of course the stock did open up).  Would have been nice to get a confirmation of all the candlestick patterns from Fridays close that were bullish.  I guess the only net positive in the last 2 days is that price action is sideways instead of down, maybe we can get some white candles finally here soon.

Elite, would love to get a quick read on CHDT from you! 

EliteG is not available for now; he is taking care of a personal situation and should be back soon. Taking this, he asked me to elaborate this update with the new trading plan for CHDT.

update CHDT:

After we sold the first 1/3 of this position @ $0.192, CHDT started a higher than expected dip, and we were unable to react on time (we were initially expecting a consolidation period not bellow 0.14/0.15).
CHDT has now touched the ema-50 and the first ascending support (Sup.1), this levels are a little above our entry price, and we'll be using this as a protective stop level for the remaining 2/3 of this position. Mainly we expect this price zone to hold any further correction on CHDT, taking also in consideration that the main extra-bullish mid term pattern has still a strong presence on the chart.

Best regards,

------
Position: bought CHDT @ 0.085 on 06/28/2006 (1/3 Position Sold @ 0.192 on 07/13/2006)
Order: Hold with a stop @ $0.09
Exit: n/a
------

hi ramsburg,
why not sell today with a 23%profit? (i realize it is too late now )
this stock will continue to drift down . there is no reason for it to hold support at 10 and once it breaks that, finally it will stay under ( it is selling off pretty strong as i type). it hasn't been on fire for days now with most of the volume coming on the sell side. all momo has left the building.
thanks, jmho
maxi

Quote from: rickjust on July 25, 2006, 09:34:46 AM
hi ramsburg,
why not sell today with a 23%profit? (i realize it is too late now )
this stock will continue to drift down . there is no reason for it to hold support at 10 and once it breaks that, finally it will stay under ( it is selling off pretty strong as i type). it hasn't been on fire for days now with most of the volume coming on the sell side. all momo has left the building.
thanks, jmho
maxi

weak at the close, now 85 at close . pretty big sell off today. you can never tell with these pennies what is driving the price. but the chart doesn't lie.
take profits often,
maxi

Quote from: rickjust on July 25, 2006, 04:03:29 PM

Quote from: rickjust on July 25, 2006, 09:34:46 AM
hi ramsburg,
why not sell today with a 23%profit? (i realize it is too late now )
this stock will continue to drift down . there is no reason for it to hold support at 10 and once it breaks that, finally it will stay under ( it is selling off pretty strong as i type). it hasn't been on fire for days now with most of the volume coming on the sell side. all momo has left the building.
thanks, jmho
maxi

weak at the close, now 85 at close . pretty big sell off today. you can never tell with these pennies what is driving the price. but the chart doesn't lie.
take profits often,
maxi

Maxi, seems you were right on every call you made on this stock.  Were you in it at all yourself?  I think I saw some other thread where you said you are out of the market entirely?  Anyway, for as bad as I feel not having listened to you, I applauded you just now for calling it correctly.

hi,
thanks toky,
i am not in it but i almost got in at 19 when i noticed that spike and a rejection of price above 20. i seem to be better at picking stocks going down than going up. this was an obvious one like gv and chid . the charts were similar. parabolic rise then drop.  the lack of profit taking frustrates me with this site only because i make the same mistake myself all the time waiting for that blue sky break or getting in too late after the rally has lost steam. i don't think chdt will recover for some time . but that could change in an instant.
;D
glta
maxi

thanks for the perspective!  I do feel sorry for those who jumped in too high, if nothing else I manged to only average in at .11 so my loss isnt huge and its balanced by selling of 1/3rd of the postion.

My new thought going forward is to take 50% off the table when a stock doubles like this so fast, then your remaining shares are free and there is no way you can lose money after that, and you could hold for as long as you want without panic after that.  I did something like that with XCHEM recently, so I will let my remaining shares of that sit there for however many months it might take for them to supposedly go ballistic like people think they might.

My stop didnt get triggered today, and I dont know what happened on 3SOF, but unless the stock opens up tomorrow and goes up from there, looks like its sayonara for CHDT.

Quote from: rickjust on July 25, 2006, 04:28:04 PM
hi,
thanks toky,
i am not in it but i almost got in at 19 when i noticed that spike and a rejection of price above 20. i seem to be better at picking stocks going down than going up. this was an obvious one like gv and chid . the charts were similar. parabolic rise then drop.  the lack of profit taking frustrates me with this site only because i make the same mistake myself all the time waiting for that blue sky break or getting in too late after the rally has lost steam. i don't think chdt will recover for some time . but that could change in an instant.
;D
glta
maxi

Position closed following our stop @ 0.09 for the remaining 2/3 of the initial position.

2/3 sold today @ 0.09 (+5.88%)
1/3 sold Jul/13 @ 0.192 (+125.88%)
(about +48% on the total position size)

regards,

This has become a rather painful trade for me, bought at .14 on the way down hoping to see some support. Sell didn't get filled yesterday, hopefully I can get rid this morning before it drops too much more!
Typical - one of the few succesfull 3SOF trades in the last few months - and I manage to lose on it!! :(

Quote from: Ramsburg on July 26, 2006, 01:24:51 AM
Position closed following our stop @ 0.09 for the remaining 2/3 of the initial position.

2/3 sold today @ 0.09 (+5.88%)
1/3 sold Jul/13 @ 0.192 (+125.88%)
(about +48% on the total position size)

regards,

Frederick and G.,

Congratulations and applause for the nice gain.  Whether you had sold ½ or all of it at 0.192, it's all good when you've got a gain, especailly a nice one like 48% in a rotten market.  ;)

Also, applause to maxi (rickjust) for a great read on this stock.

IS MOVING

GOT IN 0.096
MY STOP MA 50 0.09

the last 5-7 sessions the MA 50 was support. Today now what a nice close with big volume. We closed over the important 0.100 barrier at 0.102... looks good. We are closing over the EMA 9....momentum back for a bounce, i hope so.

gapping up this morning  :D

  Had a good day friday for the first time in awhile...people are expecting good numbers out this week....just might make another run here if the numbers are as expected and momo comes back. Alot of people watching this stock...including me.  ;D

Picking again and fast uau !!!

Yes... interesting chart right now...

hi,
chdte continueing to show strengh on decent volume.
staying aboe 50ma and 20 ema turning.
maxi

I think people are looking at these tropical systems perhaps affecting the Gulf Coast.  I picked up a few Hurricane speculation shares on Monday.  Gl.    >:D

 >:D >:D wow

China Direct Reports Revenue Increase of 1,520%, Revenue Increases 58% Sequentially from Q2 2006 over Q1 2006
Friday August 25, 10:04 am ET
Q2 2006 Revenue of $3.97 Million and Net Income of $374,885 on delivered orders

COOPER CITY, Fla., Aug. 25 /PRNewswire-FirstCall/ -- China Direct Trading Corp. (OTC Bulletin Board: CHDT.OB - News) today announced consolidated results for the second quarter of FY2006 ended June 30, 2006, and the filing of its Form 10-Q for that fiscal quarter with the U.S. Securities and Exchange Commission.

FINANCIAL RESULTS: Reported consolidated gross revenues for the quarter ending June 30, 2006, were $3,969,957, an increase of 1,520% from the $261,016 in gross revenues reported for the second quarter of FY2005 and a sequential increase of 58% over first quarter FY2006 gross revenues of $2,511,809. The increase in gross revenues is primarily due to growth in power generator sales by Complete Power Solutions, LLC, a 51%-owned China Direct subsidiary.

Total sales orders reached $6,800,000 Q2 FY2006, of which $3.97 million could be recognized under applicable GAAP as second quarter FY2006 gross revenues.

Profitability continued to accelerate as second quarter FY2006 net income rose to $374,885 over sequential first quarter FY2006 net income of $42,718, versus a loss of $(18,097) for the corresponding second quarter of FY2005.

Cash position increased to $873,211 in Q2 2006 versus $9,090 at the end of the 2005 calendar year.

"Our profitability is increasing and our ability to sell, contract and complete power generator installations is accelerating, as evidenced by the rapid increase in completed orders over the second quarter," said Howard Ullman, CEO/President of China Direct. "The higher investment and associated costs in building out our infrastructure in Q1 FY2006 are now paying off and we will continue to strive to drive cost efficiencies to seek increased profits."

INVESTOR TELECONFERENCE: China Direct will host an investor teleconference to discuss second quarter FY2006 results and update investors on current corporate and subsidiary initiatives on Monday, August 28, 2006 at 10:00 AM Eastern Time. To participate in the call, the dial-in number is (319) 632-1100, then enter access code 260372 and push the pound (#) key. A replay of the call will be available for two weeks and will be accessible at (641) 985-5006, access code 260372#. A replay of the call will also be available from the www.chdt.us web site one day following the call.

Anybody think this is a good time to jump in at.079?

The CHDT PR machine is starting up again, they announced a new CEO a few days ago, and a partnership with STP today.

I am back in at 0.03.

Changed Ticker Symbol
'CHDT.OB' is no longer valid. It has changed to CHDO.OB