My friend told me Bico was gonna to rise, please comment on this stock.

Thanks!

Tat

Hello Tat: There are hundreds of penny stocks to look at. 98% never make it out of being a penny stock. Most go broke. But there is hope. If you find A stock that fits the Ted Warren criteria you could do well. At the price of BICO you would have to buy quite a few shares to make a good profit. I would stay with a system that is proven.If you have a lot of extra cash your not going to miss if you loose,then try it. good luck

TAT, I have to agree with Tony when he comments that we need to look for stocks that fit Ted's criteria. The Long term perspective shows just the type of chart that gets us thinking about making our million in one shot. Pick this baby up for pennies and ride it back to $5 or $10.

http://www.bigcharts.com/custom/investorline-com/investorline.asp?sid=840&o_symb=US%3ABICO&symb=US%3ABICO&time=20&comp=&compidx=aaaaa%3A0&country=us&draw.x=18&draw.y=4

The reality will probably be as Tony mentions. It could very well never leave the penny range, which is fine as well, so long as it meets with the criteria we are looking for. BICO has been a dog for a good 2 years following a slower downtrend. We would be right to want to keep an eye on it. At the beginning of 2000, this stock broke up out of a slow downtrend of almost a year (see short term chart below). This is where I see the buy signal given, at somewhere around 15 cents perhaps at the start of 2000. BICO rose to just over a buck (and look at the volume spike!) in a short period of time giving the opportunity for as much as 600% profit. As investolators, our criteria to exit was met and we should have exited with easily at least 200% profit. If we ignore the odd looking many thrusts (and in Ted's words, I've never seen anything like this), the uptrend has been violated and it is now questionable as to the direction of this stock. Investolators have had their chance to make money on this stock and I believe it should be left alone until it again meets criteria fitting of Ted's methods. Of course, perhaps other trading strategies will point up from here for this stock, but I would not be familiar with them, and I would not be getting in here either.

http://www.bigcharts.com/custom/investorline-com/investorline.asp?sid=840&o_symb=US%3ABICO&symb=US%3ABICO&time=9&comp=&compidx=aaaaa%3A0&country=us&draw.x=29&draw.y=17

Take care TAT

Lester^2^

Hi, Lester, how are you? thanks for detail explanation. As you mentioned, there was a spike in a short term graph, then a drop. Can I consider this drop is a shakeout that discourages average investors out of the last shares they may still be holding? I see there is a pattern (distribution-->base-->distribution-->base)in a long term graph. I think there will be a big rise in coming years. Wellcome any guidance and criticism.

Thanks!

Tat

Hi Tat. When I take a look at a move as BICO made, I need to refer to Ted's words on page 241 of his book. Ted Comments in reference to his sample AJ," Anytime the price moves as quickly out of its low, quiet price range as this one did (AJ rose 100% in 1 MTH), you had better not wait for the 200 to 400% profit that I advocate. You had better consider it to be the sucker bait move and sell out quickly."

In the case of Bico, if we were to use even the upper numbers in its range to begin our calculations, say 30 cents, a 200% rise would take us to 90 cents. BICO covered this range and more in about a months period of time. Additionally we had the tell tale high volume increase that is a clue to the distribution process. If we followed Ted's advice, I could only come to the conclusion that we should exit on such very fast rises. Ted also mentions in regards to these fast rises that the stock may very well reach the heights of the rise again in the future, but it could be another year or so before it does.

When I look at the long term chart, I must agree with your conclusion that BICO has a lot of upside potential, and should continue to be monitored for further buying opportunities. Its very possible it could exhibit some accumulation behavior at a little higher range that would interest us as investolators- perhaps a triangle/pennent formation, slow downtrend with a breakout, or even just channel across for a period of time. Watching for these types of TW formations will help us decide when to get on board for its next rise coming in the next few months/years.

I suppose even Ted has commented that nothing is fool proof, but his techniques and insights sure give us a great model to work from.

Lester^2^