Looksmart Limited (LKST)

[andy20020]

Ollie ... If I've got the count right ... this is now the second up leg, or leg three of a five leg cycle. I note that all the stochs started to show positive divergence recently and the volume for LOK on Fri in Oz confirmed it for me so I added at close. This was one example where it would appear Oz lead the US.
I know things feel bad in a fundamental sense ... but what more bad news can there be? I see a huge gap above and a chart that says things are getting more interesting.

http://bigcharts.marketwatch.com/quickchart/quickchart.asp?symb=look&sid=0&o_symb=look&f...

Stick volume on this and you'll see how the volume is building lately.

The way I trade this is simple ... buy low and when in profit stick a stop on it to lock in profits. I suggest you could do the same if you have any concerns.

Kind regards.