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dmlabuda

07/26/12 8:11 AM

#962 RE: eZ3 #960

Good question! It's a GREAT Cookie! Nabisco has every right to be proud of it! ... Oh yeah, you meant the stock OREO, right? Well, that's certainly another question in deed, isn't it? At the present time, OREO is an extremely weak stock from a purely technical point of view. Resistance has been very firm at the 20 day moving average. We do have the makings of a bullish divergence now but, it's unconfirmed at the present time. The odds are the price will continue to follow the trend lower. However, it's possible that we could see a rally but, there is really nothing technically that should trigger one. The MACD has risen since June 11th but, the price has continued to fall. The volume is consistent. The fundamentals on this stock are about as weak at the price so, that's no surprise. The book value is $0.01/share so, the price could drop another $0.08 or $0.09 very easily and there is no rule that says it has to stop dropping at the book value. Just my current opinion.