VRE

Potential for a consolidation breakout.

As shown on the chart below, this stock is beginning to show some signs of  beginning a new uptrend.

A conservative entry would be to wait for 20c to be broken. A strategy i like to use is to buy half  position early, then add to it as the trigger is fired. That way, if the stock should suddenly take off, you'll at least have some cash riding on it, and when you do manage to buy more, you'll end up with a good average entry price. Also, if the trade fails, you've only lost on half a trade.

With this strategy in mind, i've entered a half position @ 18c today the 2/12/05, and plan to double up @ 20c as/if it breaks, thus giving me an average entry of 19c.

Stop loss on initial position @ 16c.

Disclaimer: The above mentioned information is my opinion only, and NOT to be taken as advice as i am NOT a licensed advisor. Caveat emptor.

Disclaimer: The above mentioned information is my opinion only, and NOT to be taken as advice as i am NOT a licensed advisor. Caveat emptor.

Update: 5/12/05: Well, the breakout happened a little sooner than I really expected, but hey, I wont complain !

As planned I added to my position as price broke 20c. I have some resistance at todays high, but not prepared to take profit at this level because i'd expect the old 20c resistance to become support now. My next real target is around the 25.5c to 26c level, and from there hopefully price will retrace and retest the 21.5 to 20c level and find support for the next upswing. Targets after that are 33c and 39c..... we'll have to employ a trailing stop to lock in as many profits as possible. Current stop is a close at or just below entry (19c)

Update 11/1/06: This trade has been very nice, the 25.5 to 26c level was smashed in one foul swoop, so naturally i held. Price then retraced and retested that resistance beautifully, and has made another leg up. Infact, it's made it to the second of my targets today. I've been tempted to sell at these levels and buy back in on a retracement, but in all honesty, there is no REAL sell signal, and the stock may not retrace at all - YET. A good strategy could be to sell half here, then if it retraces - buy that half back. However, given that there is news surrounding the stock again today that they've upgraded a major mine, i believe the buying power could push price up to the next level of resistance at around 39c. (see dotted lines on the chart below)

I continue to hold.