11/03/11 - RAYS.OB Has a Perfect Chart

Here's a really quick post at the The Perfect Stock blog. Everyone should be well aware of the stock RAYS.OB by now. It gave up about .40 cents in gains late afternoon yesterday. Many people sold in panic, but look at the recovery in today's action in the picture above. I believe RAYS is once again setting up as a Perfect Chart. Often times people just look at 1-day or 3-month charts in checking out the technicals of a stock. However, 15-minute charts over multiple days can also give you a clear picture of where a stock is headed. In spite of the drop on 11/02/11, you can see that the stock is still in an upward path. Very similar action occurred in its predecessor LEXG.OB. I believe RAYS will still head significantly higher just in a slightly less aggressive path. We'll see.

6/30/11 - Failed Pump Makes Xinde Technology (WTFS. OB) Perfect

Here's a really quick post today because I don't have a lot of time.

Xinde Technology (WTFS.OB) is my latest perfect stock selection. On 4/14/11, this Chinese company did a 4-1 forward split. It appears they needed to unload some shares, so about two weeks ago, they initiated a $750K promotion in hopes of minimizing the slide in share price. See link below for the promotional literature:


Well, the pump failed and the share price has cratered from .80 to .08 in the last two weeks. The bullet points below are why I think WTFS.OB is now perfect:

  • The company still makes well over $100M annually in revenue
  • As of 6/29/11 the company has a PE of 1, which makes it attractive fundamentally
  • Many Chinese stocks have been bouncing recently after being hammered by the market the past 3-6 months
  • Its chart appears to be bottoming
  • The short interest in the stock is increasing, which fuels bounces as shorters cover

The morning of 6/30/11, WTFS.OB sits at $0.118. There is a chance that the stock retests the .09 area and could possibly go lower. However, I think at these levels, the upside greatly outweighs the risk. I'm putting a target of $0.25 on the stock to be reached at some point in the next 2-3 weeks. Xinde Technology (WTFS.OB) is the next perfect stock.

4/24/11 - The Perfect Pumps Continue with AVVC.OB

Here's a brief post at The Perfect Stock blog. My last commentary focused on the big money promotion of ALZM and its potential to reach between $2.50 - $3.00. Sure enough, ALZM topped out at $2.60. Not surprisingly, the stock pump game is still white hot. LEXG has followed suit and continues to make 52 week highs daily. The stock next in line appears to be this blog's potential "Perfect Pump" selection. Avatar Ventures Corp. (AVVC.OB) is the next perfect stock.

There's no need to go into an extensive analysis as to why AVVC.OB can make 75% or more gains within the next 30 days. All of these pumps follow the same pattern. Just read my last post regarding ALZM at http://theperfectstock.blogspot.com/2011/03/31811-big-money-promotion-makes-allezoe.html and basically substitute the ticker symbol to AVVC.OB. This particular stock currently sits at $1.27/share and has a $1M promotional budget, which happens to be a little larger than ALZM's. Generally speaking, the bigger the promotional budget, the better the chances are of a successful pump. See the link http://www2.smallcapfortunes.com/avvc2/ for one of the company's promotional materials.

See below for AVVC.OB's chart:

You can see that on Thursday 4/21/11, the stock had a classic pull back after hitting that $1.40-$1.50 area that I've discussed many times on the blog before. The volume has been particularly impressive. What I anticipate is that there will either be another drop on Monday (a gradual one throughout the day or just a quick morning dip) or AVVC.OB will move higher from the start and not look back. Either way, I expect the price to move higher no later than Tuesday 4/26/11. If it doesn't, that would be a huge red flag.

The $2.50 - $3.00 range remains the target. Keep in mind that nothing is guaranteed when it comes to the stock market. All you can do is select stocks where the odds of it going higher are greatly in your favor and hope for the best. In my opinion Avatar Ventures Corp (AVVC.OB) is the next perfect stock.

3/18/11 - Big Money Promotion makes Allezoe Medical Holdings (ALZM.OB) Perfect

New post here at The Perfect Stock blog. Once again, I'll focus on a stock that I feel can make investors/ traders 75% gains or better in the next 30 days. In the past, I've done posts on companies that have 3 or 4 aspects about them that suggests they'll move much higher in a short period of time. I've also posted about stocks that may just have one powerful thing about it such as a "Perfect Chart". This post fits along the lines of the latter. However, in this instance that one "perfect" aspect centers around promotion. I'll call it the "Perfect Pump". Allezoe Medical Holdings Inc. (ALZM.OB) is the next perfect stock.

First, I won't bore you with the company details of Allezoe Medical Holdings. If you truly are interested, you can easily look up that information yourself. For the sake of this post, it's completely irrelevant. I want to focus on the promotion of ALZM.OB. I frequently hear people say, "Don't buy that stock, it's just being pumped." First of all, most stocks are pump and dumps. If you're looking for quick gains and you are astute about when to lock in profits, pumps can be very profitable. ALZM.OB happens to be following the successful pattern of stocks with high priced promotional budgets. Allezoe Medical Holdings has at least an $800,000 marketing campaign currently under way. Capital Financial Media (CFM) is one of their lead marketers. They worked their magic a few months ago with FCPG.OB for around 600% gains. I'm not an expert in how exactly these promoters do it, but somehow Market Makers (MMs) are able to walk up the share price by controlling the bid/ask price action. The manipulation is clearly revealed in the charts. Check out the spikes below as seen in FCPG.OB, HHWW.OB, and KNKT.OB:

As you can see, the moves usually begin around $1/share with a fairly steady surge in volume. Then, the trading pattern generally follows one of two ways:

- The MMs steadily move the share price to at least $2.50 - $3.00 per share without a pullback (as shown in FCPG.OB and HHWW.OB)
- The MMs move the stock to $1.40-$1.50 range, allow a panic shake to occur dropping the price 30-40%, and then continue the climb to that $2.50- $3.00 per share range (as shown in KNKT.OB).

Once the stock peaks, it falls hard. Hopefully, you would have made you money and gotten out by then.

See below for the current chart of ALZM.OB:

See the similarities to the first three charts shown. I'll almost guarantee you that ALZM.OB will either continue to surge until it at least hits that magic price range mentioned earlier or they'll be a pullback for a couple of days before moving higher. We'll know for certain in the next day or two. In my opinion, if the stock does drop and the volume isn't outrageous, that's a super strong buy signal.

Someone with an interest in FCPG.OB, HHWW.OB, and KNKT.OB spent at least $1.2M, $1.5M, and $800K respectively on promotions. ALZM.OB is right on par with those other three moneymakers. Allezoe Medical Holdings looks to have the makings of the next Perfect Stock.