NewStream Energy Technologies Group Inc (NSGP)

[trader53]

The chart for CCTC.

The stock formed a "decline" from January 20th at 0.18c to a low of 0.034c on February 10th, while the Money Flow was trending up from a very bearish -14 to a bullish +20, and formed a rather large "positive divergence".

This "divergence" was not a signal, but would have served as an "alert" that "the selling pressure was decreasing".

Divergences can be difficult to act on and should be used in conjunction with other aspects of technical analysis.

By the time the stock broke resistance on February 17th, at 0.05c, the Money Flow had moved from a bullish level of +40 to a very bullish level just above +80.

The interesting point about CCTC is the period from April 29th to May 25th. During this period, the stock declined, but the Money Flow continued to strengthen as buying pressure intensified. The oscillator moved from +20 on April 29th to +55 on May 26th. Buying pressure has doubled. This was a clearly bullish indication and the stock will soon be obliged to advance.

http://stockcharts.com/h-sc/ui?s=CCTC&p=D&yr=0&mn=6&dy=0&id=p30798106042