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Center Financial Corporation (CLFC $19.50) is a bank holding company that owns all of the outstanding shares of Center Bank. Center Bank is a community bank providing financial services to small to medium-sized business owners, mostly in Southern California. It specializes in commercial loans, which are mostly secured by real property, to multi-ethnic and small business customers. In addition, the Bank is a Preferred Lender of small business administration (SBA) loans and provides trade finance loans and other international banking products. Center Bank's primary market is the greater Los Angeles metropolitan area, including Orange, San Bernardino and San Diego counties, primarily focused in areas with high-concentrations of Korean-Americans. The Company's only other direct subsidiary is Center Capital Trust I, a statutory business trust that was formed in December 2003. In April 2004, the Bank acquired the branch operations of Korea Exchange Bank in Chicago, Illinois.  The Banks - West/Southwest group is in the top 28% of IBD's 197 Industry Groups, offering nice reassurance it is a leader in a strong group of stocks. 

What to Look For and What to Look Out For: Watch for it to eventually break above its pivot point with volume at least 50%+ above average before it qualifies as a valid buy candidate within proper guidelines.  Its 50-day moving average line and prior chart lows in the neighborhood of $19 should meanwhile serve as support, with any violations on above average volume being technical sell signals to watch out for.  Losses beyond 7-8% should not be tolerated.  Always have discipline on buys (wait for proper buy signals) and sells (heed sell signals). 

Technical Analysis: In late-August there was a string of sessions marked by gains on heavier than average volume.  Since mid-September it has endured numerous days of losses on higher volume, however during that time it still managed to rise on up and then build a 5-week base near $20.