Forum Archive Index - April 2001

["G Stolwyk" <stolwyk@wave.co.nz>]

 

 

Peter,

 

Thanks for sending me your chart and your comments to my personal email address.

 

( Attempts to send the chart to the Forum failed, presumably, because of insufficient storage capacity on that site )   

 

It is one of the most significant and consistent charts, I have ever seen!

 

It is a nearly perfect staircase rising at 36 degrees to the horizontal ( starting on Nov 18, 2000 and up to about Feb. 20, a very aggressive line over a 3 month period ) 

 

The price rose from $ 1.70 to $ 3.40 - some 100% - during that time! 

 

This line then changes from 36 degrees to the current 20 degrees to the horizontal, a still significant angle of aggression! 

 

Over that period - since Febr 20, the price rose from $ 3.40 to the current $ 3.90!. 

 

The periods of consolidation or support levels are the rungs of this stepladder and are illustrated by very consistent ' weavy ' horizontals.

 

The consolidation period typically lasts about 2 to 3 weeks and this is followed - every time - by a steep rise- some 40 cents over a fortnight- to the next support level!

 

It is possible that as prices keep rising, these consolidation periods will be of greater duration: 

 

They start at prices $ 1.80, $ 2.40, $ 2.85, $ 3.25, $ 3.55 and could be at $ 3.80  to $ 3.95 at present.

 

One can see that the distances between the rungs are still reasonable  during the latter stages! 

 

Obviously, it will take a little time to cross the $ 4 barrier. Much depends on any announcements concerning the $ 34 mill. cash CLH has raised!

 

I understand, you were previously predicting $ 4.50 at mid-year, and in your comments of March 31, 2001, you are still of the same opinion! 

 

Although I sometimes have doubts about graphs, this one, because of its aggressive nature and plain presentation, is impressive!      

 

Only 3 months left to go to the end of their June 30, financial year! See: < www.collectionhouse.com.au > 

 

I feel that this investment is very suitable to the longer term holder!!      

 

Peter, please keep us informed!

 

Gerry

(Holds CLH)

 

PS: The reader can refer to previous articles on CLH by selecting the Homepage of < www.sharechat.co.nz >, then enter the code: CLH  - use the box provided - at the top and left; then press the search button.

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Disclaimer.

Readers are not asked to buy, hold or sell shares or any other financial instruments. To do so, will be at their own risk! This contribution to the Forum is an opinion!