Read the latest interims.......just make sure that you are sitting down.

Think this snapshot is just about readable. It's only a historical view, but is an interesting demonstration of the 'fan principle'. The break through 500p would have initiated a short position and netted anything up to 50 ticks dependant on the exit strategy.

The third trendline (broken at 500p) should have acted as resistance for any subsequent rise, which it failed to do initially, but managed to do on Friday. Had the breakthrough of this trendline had any real momentum it would also have become support, again it failed to do so.

For the moment and until proven otherwise I am going to assume that this trendline is now resistance and set a stop at 560. Worthy of note is the gap down set early March; the bottom of this gap is also acting as resistance at 560p which may add some credibility to my analysis.

So, unless it breaks up with some momentum I am setting an initial short target of 450p.

pth

thanks PT ..... now that is indeed a useful chart, even if one does need good eyesight to read it! .... even if sp starts upwards again, i cannot see it rushing through 600, so upside = downside as a bear(!) has much better odds/potential than the reverse.

Cynic, first time I have pasted a chart with text, next time I'll make sure the letter thingies are easier to read, also just added a few random thoughts.

pth

if my aged eyes can read, then it's good enough for others! ... presume pasted from the site you mentioned

Not pasted directly, have to do the analysis first, take a screen snapshot, save to disk, upload to another website and then link the image to MAM.

wow! that is huge effort and greatly appreciated ....screen snapshot sounds very esoteric to a numbskull like me

pth, great chart indeed - as with VML, thanks!

Something was bugging me about the SOLA chart, so for the sake of balance I have had another look. There is a possibility that a bullish flag has formed during the recent SP revival. What I would say though is that the volumes are not as they should be, a very important aspect of TA patterns.

All I can suggest is take a look at the previous chart I posted, compare the two and make up your own mind.

pth

i say, "Wait for tomorrow and see what happens then. We can all then have 20/20 hindsight!"

Cynic, you have e-mail. PDYOR, though, but could be of interest. Will correspond tomorrow as I have to keep a date with my pillow.

Soul out.

LONDON (Thomson Financial) - "ReneSola Ltd said its full-year pretax profit leapt higher as revenues soared from the prior year, adding it is on track with the implementation of its accelerated capacity expansion plan.

The manufacturer of solar wafers for the photovoltaic industry said pretax profit for the year to Dec 31 2006 was 22.8 mln usd, versus 621,000 usd in 2005, while revenues soared to 87.6 mln usd from 8.4 mln usd.

ReneSola said demand for solar wafers has continued to grow, and it has signed sales contracts for about 91 mega watts (MW) of monocrystalline wafers for 2007 delivery, representing about 83 pct of the planned 2007 monocrystalline wafer output.

It added production in the first quarter was about 15 MW and expects it to rise to about 25 MW in the second quarter.

It said 2008 expansion plans are expected to be finalised before the end of the second quarter, adding it plans to open an office in Shanghai during the second quarter.

For 2007, it said it expects total production output to be about 150 MW, more than three times the output in 2006.

The company said it is currently in discussions with an international bank regarding a potential loan to provide funds for the capacity expansion and to provide additional working capital."

"The company said it is currently in discussions with an international bank regarding a potential loan to provide funds for the capacity expansion and to provide additional working capital." ...... and thereby hangs the key as to why the management needs to keep massaging the investors (and sp!) ...... very happy to stay short, as i suspect is PTH though he is more than capable of making his own comment!

Quite happy to stay short at the moment, the early rise seemd to be more predicated on sell orders on the book than for any other reason. I really must have a closer look at the accounts and see why they are unable to generate cash.

pth

and judging by today's market reaction, south will almost cetainly be the next direction ...... if you do not intend to hold long term, then it might be deemed wise to exit now, as if selling gets the remotest momentum, it is likely to be sudden and vicious.

there we go...

PTH look at debtor days.

gf

Afraid I'm not much good on fundamentals, but they seem to owe an awful lot of money, have an awful lot of stock, already have one(?) bank loan and are trotting back, cap in hand once more; and that after just raising $120m. The administrative expenses ($2m) seem exceptionally low for a company of this size, generating this turnover. I know Far East labour is cheap, but what about the fat cats sitting at the top, I'm sure they are not on minimum wage.

pth

PTH's charts are much better and more sophisticated than mine, but herebelow is an easy to read large scale chart ..... 25+50 dma are swiftly converging at about 515 and ought to lend some decent support .... however, if this level is broken, then as PT says, there is no floor until about 450

Looks as though this could go, small volume for now though.

Go? Up, down, sideways, nowhere?