A bull pennant forming in PEIX, a California based ethanol producer. The event driving the flag's development was Bush's comments in the State of the Union address seeking regarding ethanol fuels.
A review of SEC documents reveals what appears to be a highly speculative play; future growth of this company seems to rely on a complicated plan involving debt and equity capital to build ethanol plants. I generally don't trade in companies with no earnings (a hold back to my tech bubble crash experiences). But an interesting case of Technical Analysis, which signals a buy here, and Fundamental, which signals extreme caution. The one bright spot is the progressively higher lows seen despite a soft trading week.