Technical Reviews of RPTN, CAGC, and OWVI

The bullishness from late last week didn't last long, did it? Yet, all three of our focus stocks this morning look like decent bullish setups. Let's take a look at China Agritech Inc. (NASDAQ:CAGC), Raptor Networks Technology, Inc. (OTC:RPTN), and One World Ventures, Inc. (PINK:OWVI), as these three names are among the best trading ideas we've found as we kick off the week.

It was hardly a perfect setup, but don't dismiss the jump from One World Ventures, Inc. (PINK:OWVI) Friday as just a little volatility. The rally from $0.0028 to $0.0037 - on strong volume, no less - yanked OWVI out of a long-standing rut. A little more gas, and the stock could break free of another burden.

The hurdle that OWVI knocked down on Friday was the asymmetrical wedge shape that extends back to September. A handful of lower high ands higher lows put the stock into a position that, one way or another, had to shove it out of those confides within the week anyway. As it turns out, the market saw fit to sling One World Ventures, Inc. in a bullish direction.

That said, I still don't see this is an ideal beginning to a true breakout. For starters, the 32% jump may be excessive to the point that it will be an impossible act to follow; I suspect One World Ventures shares will need to retrace some if its steps and get another running start to clear the next problem... getting above the resistance line at $0.004. That would represent a higher high - the first in a while. Still, the potential breakout makes OWVI worth watching.

Note that by the time you're reading this, the split will have made my chart of China Agritech Inc. (NASDAQ:CAGC) obsolete, in that all the historical prices will have been cut in half. It doesn't really change anything with the shape of the CAGC chart though, which is the reason I'm bullish on it.

Had we not seen the pattern from CAGC before, I really may not care. It's all lining up very nicely though. The stock just become officially oversold based on stochastic lines, and this occurred right as the stock brushed a standing support line for the third time. If history repeats itself (and I think it will), China Agritech Inc. will now push off that support line.

As for an upside target, I'm not getting married to China Agritech, as I expect the same ebb and flow that's pushing it higher after becoming oversold will push the stock lower again after it becomes overbought. Still though, if the upper edge of the bullish trading range is any guide, CAGC could reach as high as the $40's before hitting a headwind.


Raptor Networks Technology, Inc. (OTC:RPTN) fell of the market's radar a few weeks ago, most likely due to a lack of progress from the stock. Since then, however (and very quietly), RPTN has turned weakness into some strength, and is knocking on the door of a breakout move.

In the bigger picture, RPTN has at least managed to pull itself out from under three bearish/falling resistance lines. At the same time (and this is apparent on the weekly chart even more so than on the daily chart), the momentum has turned bullish for Raptor Networks Technology, Inc. shares; the MACD lines are showing a clear bullish divergence for both timeframes.

The last hurdle that Raptor Networks Technology is facing is resistance at $0.20. It's here, however, that the lack of volume behind the recent bullish effort becomes painfully evident. Though RPTN has survived several major distribution days, it's not enough - something's got to get the stock over the hump. The present volume isn't going to do it, but the stock remains worth watching simply because that volume could kick in at any time.