NewStream Energy Technologies Group Inc (NSGP)

[trader53]

More Elliott Wave explained for CCTC,

Wave (1) was .034c up to .42c
Wave (2) was .42c down to .106c
Wave (3) either already in ( minor wave 1,2 of Wave(3), or about to enter.

http://www.optionsoutlet.com/trading_technicals/images/improv25.gif

In wave (1) .034c up to .42c
there are a limited number of people believing that the underestimated value of stocks is worth buying; a long-term belief in survival. In about half of the cases, wave (1) is still part of the bottoming pattern of the previous downtrend. As a result, wave (2) will redraw most of wave (1). A lot of investors look at wave (1) as a correction in the downtrend in order to profit from getting a higher price to close positions. They believe the trend will continue farther down. In the other half of the cases, there is a strong belief that the trend will turn up again, in which case wave (2) will usually only make a small correction.

Wave (2) .42c down to .106c
is a test of the low point of wave (1). There are not yet any visible fundamental changes. With the start of correction
wave (2), believers in an additional downtrend will get confirmation. As a result, and often out of pure panic, call options will drop fast in price. Selling pressure drops with lower volume and lower volatility. Wave (2) never goes below the start of wave (1).

Wave (3) .106c up to "Swing Target" of .74c minimum, maybe $1.20,
is strong up-move based on good economical prospects; never the shortest wave. On its way up, wave (3) will find the resistance of the wave (1) top. This may take some time, but once it is broken, more investors will step in, believing that the trend is really up again. Wave (3) is usually strong because it is supported by big masses. The trend is clear, and there is positive news. Wave (3) makes the biggest move and has intermediate extensions. Almost all stocks take part in this move.


http://stockcharts.com/h-sc/ui?s=CCTC&p=D&yr=0&mn=6&dy=0&id=p67611159891

http://www.stockta.com/cgi-bin/analysis.pl?symb=cctc&table=stoch&mode=table