Sunergy, Inc. (fka SNEY)

[mikeymgd]

SNEY has broken the resistance and people that trade charts could begin looking at this stock. When a stock falls for a year straight, it needs to prove its trend has reversed and breaking two resistance levels could be the key. Of course it could take another day of follow through to prove the trend has changed.

The one thing I find troubling is the buy to sell ratio. The stock moved on a tremendous amount of sell volume compared to buy volume. This does not make the uptrend look like its sustainable. The volume was 3/1 sell initiated.

Last time this happened, there was a large 16m buyer. Once he was done the stock fell like a rock. Lets see if this still has legs. Right now 5m shares is just 7500 dollars so the volume is still not big money.

Ok resistance broken, close indicates SNEY is outside the downtrend channel, volume shows selling, and finally one day does not make a trend so this week is pivotal to understanding, did a fool simply buy shares or did a smart investor scoop up cheap shares.

Good luck guys, even though I doubt the rally will continue, I do hope the stock breaks .002 this week.