I'm Buying CHCG at These Levels

I am currently reading a book that suggests traders follow five to ten stocks and understand how they swing over time. One of the stocks that I have been following and trading since October is China 3C Group (CHCG.OB), an electronics retailer in China. The stock recently had a significant run-up to $7.50 and it appears that several shareholders have been profit taking over the last several weeks. The stock is currently trading around $6.10, still above its 50, 100, 200 day moving averages.

I think I have made almost 15 trades on this stock and I confident that this stock has room to run. I do not pretend to know anything about technical analysis, but I usually buy this stock after three or four consecutive down sessions. I think this strategy has worked because the stock has great fundamentals and growth prospects. The company stated in its last earnings release that they would announce several more store openings sometime in the second quarter. I noticed that anytime a press release comes out on this company more analyst cover the stock and start to appreciate how great the growth prospects are.
There is a good chance that this stock may retreat a bit more from these levels, but I am confident that as soon as the company releases some news, the stock will soar back to the 7s. Good luck!