The shares just move from a down trend into and up trend after breaking through the symmetrical triangle on the 17th April 03

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mmmmm I must admit I done both on this. The real action on this thread has been over in the traders room.

The company has tight banking covenants which it is currently maintaining. Moody's put them on their watchlist for a possible downgrade in credit rating about a month ago - if they really do downgrade it could cause the bank to tighten the covenants even further - perhaps beyond financial viability.(see www.moodyseurope.com - watchlists - UK / Engineering)

LONDON (AFX) - Moody's Investors Service said it affirmed FKI PLC's Baa3 long-term debt ratings, but cut the outlook on the company to negative from stable.

The negative outlook reflects concern that the early signs of FKI's business stabilisation 'may not prove sustainable', that the US dollar exchange rate may continue its current adverse trend, and that cost-saving measures and asset disposals may be delayed, Moody's said.

The company's strategic plan is also vulnerable to adverse factors such as a delay in market recovery or a slow take-up of assets for disposal, it said.

The ratings confirmation, however, reflects 'the potential for stabilisation in the company's business volumes and earnings as well as its ongoing debt reduction strategy,' the ratings agency said.

The rating action concludes the review for possible downgrade begun on December 16 last year.

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