As I was scanning through the forums to see what's the hottest topic out there, China MinZhong caught my attention. As I was reading the posts, on the last posts, I saw a CIMB analyst putting out an outperform call and a target price of 1.68 for China MinZhong. I got to give my hats off to this analyst because from the charts, I don't see a single signs of BBs buying activity and how is it possible that CMZ will ever reach 1.68, unless its on a long term basis. The only thing I can think of is this analyst loaded a huge load of shares in this counter and hoping that by publishing this report, public will buy and push the price higher so that he can distribute. Think about this, there is massive selling today, how is it possible to go higher without the BBs supporting? I seriously don't know how is that possible. To reach higher prices, this stock has to come down more first to reach an attractive price level before we can expect the BBs to show their appearance in their buying activity.
I am very firm we won't see 1.68 in the near future. CMZ is a short to me. Morale of story, trust the charts as it don't lie, but human intentions are unfathomable and sometimes can sway you to the wrong direction.
Ronald K - Market Psychologist - The Big Speculator
