More shaking before the big move I am no longer a

More shaking before the big move

I am no longer an iHub user but one stock that I commented on heavily there was CMGO. It was one of my best trades in penny land and I banked on it over and over selling completely after a run to 3 cents after loading at the half penny level.

Before it began it's run though, it made a higher low pattern and had multiple fake out rallies before finally going the distance. One thing that occured almost like clockwork was that it would make a nice little run early in the week, but then peak and sell off Wednesday/Thursday back towards the lows.

This frustrated many people but I started to load every time it pulled back. The thing is that there are some people who have holding times of 1 hour, 1 day, and some hold less than a week. Many people like to chase momentum and when a stock runs a bit off the lows they jump on board hoping to ride it higher. When it does not make it's pop in the time alloted they bail on the stock and try again next period.

I think that the pattern we are seeing right now is the week long traders that buy early in the week anticipating breakout momentum and then bailing when they don't see this thing continue to rocket higher. When you add to the fact that CDEL is ask sitting at .0026 and that there are definite bidwhackers forcing lower prints, you can tell that it is people jumping on and off the bandwagon in anticipation of a major news catalyst.

From a technical standpoint as long as we do not break the lows on a daily or worst case weekly basis we should be fine. This was a close back under the 20 DMA but I still see it as a retrace unless we close below today's low.

My time frame once again is for a mid to late October move so we are still very early in the ball game.

[IMG]http://i.imgur.com/eOuAW.png[/IMG]