NICH

[shawFund]

This pick is similiar to eliteG's G-pattern.

Stocks with first break-out then pull back may have second break-out.

Currently, our INSM, ANGN, DIET, TRAD, EZM seem all fit this pattern - working on the second break-out.

The key is to dig out the stocks with good fundamental.

LNUX may be another play. Look at RHAT. LNUX may follow RHAT footsteps just like DIET may follow NTRI's. Also, AXYX starts uptrend. STP may also work on the second break-out.

[David Randolph]

The title of this thread is scary. I wish David had used the word "rocket" instead of "bomb".  I want my stocks to rocket, not bomb! I bought this morning at $8.03. I must be very courageous.

Yes, «rocket» could have been better, but «bomb» also alerts you for the short term volatility and risk involved (I lack some adjectives in English, that's the main reason  )

Does it still take courage to buy this now? Not anymore I think. It looks like it will make new highs very soon.

I agree netfishmademerich, after the last 3 days of «consolidation», it looks much more safe to buy NICH now. No doubt most people took profits, but still the stock held. The trend is bullish and it will probably continue.

I'm not selling NICH with a 20% profit anymore ... looking for something above $10.

[David Randolph]

Traders are still deciding which way to go on NICH. Over the past 3 sessions, we had higher lows and lower highs on each candle, which tells me about this indecision.

Soon they will have to make a decision, as it is hard for the stock to stand still. I think bulls have two factors running in their favor:

1) The trend is bullish, and trends usually persist;
2) Fundamentals are still very attractive, as the stock is probably worth about $16.

The bears only have this in their favor: «it rose too much».

Bull's reasons are much stronger than bear's, bulls will certainly prevail.

I'll continue holding NICH.

[David Randolph]

More volume and a new all time high today on NICH. The battle is over, the bulls won, as we thought   

The technical target of this breakout is $8.90-$6.57 = $11.23.

I'll continue holding NICH.

[Lucas Scott]

I feel very courageous for having held onto this bomb!!

This pick is similiar to eliteG's G-pattern.

Stocks with first break-out then pull back may have second break-out.

I wonder if people understand that the "G-Pattern" is really the same thing as a flag breakout, which is one of the most common patterns in all of technical analysis. G-Pattern is catchy though. Can we name the sunrise after me? Every time the sun rises in the east, please begin referring to it as "The LukeLighter"

[rickjust]

hi,
got in today at 8.75
unfortunately more of a backyard rocket built by a twelve yearold. goes up to the top of the house and fizzles.
bummmer,
maxi

[shawFund]

NICH is the year to date TOP gainer.

It gained 300% since Jan 1, 2006r.

Here is the table for the top 20:

[irod]

I wonder if people understand that the "G-Pattern" is really the same thing as a flag breakout, which is one of the most common patterns in all of technical analysis.

People don't, because It's not the same. Read carefully about both, and you'll find the differences. I guess it could be called a subset though, just like squares are a subset of rectangles.

[David Randolph]

NICH is the year to date TOP gainer.

It gained 300% since Jan 1, 2006r.

Here is the table for the top 20:

Thanks for that table shawFund    That probably explains why the stock fizzles, as rickjust says. It is up 300% year to date, so people are very tempted to take profits.

But the stock is still quite undervalued at this point. The company has just $33M in market cap, while annualized revenues and profits are $58.8M and $3.74M, respectively.

NICH's fair value, with the current information, is about $14-$15 a share. I'm not thinking of selling it below $12, because management has made all the right steps to increase shareholder value.

[Ramsburg]

NICH got a very appealing chart! (Sorry for not using semi-log scale, but just love to see it straight).

This powerful uptrend could be still in development stage, and we have several good indications from a technical point of view. Crossing the $7.00 support (January's high) with the ascending support line, we can have a good upside reaction in a few days, on the «place» where this 2 lines are tied.
Although, the volume is decreasing a bit, and taking in consideration this fast run in 2005, we should apply some security measures to this trading plan:
- We are setting a stop level @ the EMA20, which has been working great during this entire rally. This reference is $6.77 right now, and will be our stop level on this trade.

My best regards !

[stocky]

Is your stop on Closing price or Intraday?

[Ramsburg]

Is your stop on Closing price or Intraday?

Hi Stocky,

It's on intraday. If stock prints $6.77 its a Sell.

regards !

[Ramsburg]

Nice move today, it may setup a nice tone for the week.

The only reason for this update is to set the stop level up to $6.85 which is the new spot of the EMA-20.

[netfishmademerich]

The volume today is below 80,000 shares?  Am I reading this correct?  You've got to be kidding me.

[Ramsburg]

A little volume increase today, but still considerably low. NICH tried a small rally during the morning, but not strong enough to prevail.

Our stop level for tomorrow will be the EMA-20 again, and that is $6.92

Best regards,