Arete Industries (ARET)

[MSEED]

Your last paragraph is most correct.

Alot of traders think pinks/OTCBB do not trade on chart technicals. That IMO is incorrect. Many times yes momo/volume creates and uptrend from news, but the pps will always follow the technical indicators.

My take on the support level is based on the last 3 months of trading, and closing prices, not intraday lows or what the last resistance point crossed was 4-6 months ago. If the support level was .005, over the last 3 months the pps would have dropped to that level, and then rebound accordingly. The pps has not been below .006-.007 over the last 3 months, and IMHO .006-.007 is the new and more accurate near term support level. Plus, .005 or .006+- not much difference if rebound does occur and continues to .015. My experience charting is that the last 3 months (esp. w/shortterm price movements) shows a more precise analysis of possible changes, etc.

Regarding the delisting and the timely PR. My understanding is the acquisition of this pipeline was not the proposed merger that ARET was trying to accomplish over the last few months, and therefore would not be any news to PR about it earilier. The acquisition is verified thru PBR Energy as well, the co. who sold it to ARET.

Even if a stock is trading as an OTCBB, can also play games and have poor business practices. Filing quarterlies, etc does not show proposed acquisitions, future revenue etc and can be misleading regardless. However, as you have stated, it is up to a company to show its worth by proper business practices.

As usual, all pinks/OTCBB's come with risk. The best of luck to you with all your trades.

Not a buy or sell recommendation