TSX TEC.TO Thread

[Naamplao]

The above poll of sentiment for Technicoil Corporation is sort of an experiment to see the opinion of others toward this stock.

Periodically I will ask for this poll to be refreshed so that we can get a new feeling about the sentiment towards this stock.

Now here is a brief description about this oil & gas service company

About Technicoil

Technicoil is an integrated, technology-driven company that provides both primary well drilling and secondary well stimulation services to the oil and gas production industry.

Technicoil Corporation is a public company listed on the Toronto Stock Exchange (TSX). Our trading symbol is 'TEC'.
What is Coiled Tubing?

Coiled tubing is an established technology that is commonly used for the cleaning and stimulation of oil and gas wells. Available in sizes ranging from ½” to 3 ½” in diameter, coiled tubing is utilized extensively throughout the oil and gas industry worldwide.

Using proprietary blends of steel compounds, coiled tubing is formed from flat ribbon steel in lengths of up to 7000m. Once formed into a continuous tubular form, it is rolled or spooled onto a storage drum and distributed around the globe for use in the well servicing industry. Technicoil commonly uses coiled tubing reels of 73mm (2.875”) diameter and in lengths of up to 1800m.

Providing the oil and gas industry with effective and dependable coiled tubing services, Technicoil has the versatility to address all of the requirements of the coiled fracturing and the drilling industries.

I have owned this company for some time now. I first bought it several years ago when it was in the $1-$3 range and made a nice return off of it. Natural gas prices declined and with it drilling activity. The share price dropped into the low $0.80's and I decided to get back in. However this was not the turnaround that I had hoped and the stock fell to $0.44 at the start of the year. I had faith in the product that they sell so I held on and my loyalty has been rewarded.

I am convinced that this turnaround is real and the company will rise again to previous highs again, which is why I am posting this thread.

Here is the SharpChart

TEC.TO - SharpCharts from StockCharts.com

As can be seen the bollinger bands are widening again after a minor tightening with the share price hugging the upper band. The Accum/Dist and RSI look quite healthy. The TRIX is again turning positive and NOTE that about 3 weeks ago the 50dayMA strongly recrossed the 200dayMA showing to me that much of the troubles of the previous year or so are behind it.

The cold winter used up a lot of the natural gas reserves hence drilling contracts should be up this year.

Here is the P&F chart



This stock breached through a major resistance line at $0.74 at the end of March...It has risen steading over the last moth and now challenges another major resistance level at $1.10. Once it passes this mark...the next resistance is about $1.65 from another chart.

Here is the 5 day Line chart from Yahoo.com



Volume is increasing....bollinger bands in this chart are tightening. I think the assault on $1.10 is close at hand.