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Wednesday, 11/08/2006 3:51:00 PM

Wednesday, November 08, 2006 3:51:00 PM

Post# of 174020
CSSTF....there are some real games being played with this one today. The sp is all over the map on fairly high volume. Today's range is 7.75 - 8.70. My guess is that there was some 144 "restricted" stock unloaded today, with the sellers trying to sucker in the TA buyers who bought on the new 52 week high.

With 176k shares registered for sale via form 144 in the past month, I hope that the significant volume today has cleared away the last of these sellers.

As I stated earlier, the company is on the cusp of a couple of very strong quarters, with a solid year or two of growth ahead of it. For those who don't know about the company, here is what they do:

Based in Shenzhen, China, China Security manufactures, distributes, installs and maintains security and surveillance systems through its wholly owned subsidiary, Golden Group Corporation (Shenzhen) Limited. China Security has a manufacturing facility located in Shenzhen and a R&D facility which leverages an exclusive collaboration agreement with Beijing University. In addition, China Security has built a diversified customer base through its extensive sales and service network that includes 37 points of presence throughout the PRC. For more information visit China Security's website: http://www.goldengroup.cn/eindex.asp

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Lots of really good sales catalysts ahead of the company in 2007:

"Regulations promulgated by governmental agencies in China relating to security and surveillance often create opportunities for us. Currently, there are a number of formal and planned regulatory drivers which the Company believes offer significant growth opportunities. These include the estimated $6 billion to $12 billion that the Chinese government expects to spend for security infrastructure in preparation for the 2008 Olympics, along with the planned investment by Shanghai for the 2010 Worlds Fair. In addition, several ordinances have been passed by the Chinese government which require security surveillance systems to be installed in: (1) 660 cities throughout China for street surveillance; (2) all entertainment locations starting from March 1, 2006; (3) all Justice Departments and Courts; and (4) all coal mines in China (currently estimated at 28,000) by the end of 2008.

(Picture 2morrowsgains' distinctive "thumbs up" signature here....)

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