CHDO.OB.

[buddjas1]

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.

[stocky]

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.

[tokyopua]

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! 

[la-onda]

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."

[danman3459]

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

[tokyopua]

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.

[tokyopua]

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)

[rickjust]

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

[la-onda]

CHDT update:

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

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

[danman3459]

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.

[tokyopua]

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! 

[Ramsburg]

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
------

[rickjust]

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

[rickjust]

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

[tokyopua]

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.