Colorado Blue Spruce looks unhealthy

[Art67]

My young spruce tree has some black growths formed on the junctions of branches. Is this a sign of a disease?
Also, this tree has no buds, while my other spruces have pleanty of them. I suspect it might be some sort of fungus.
Any comments/suggestions would be greatly appreciated.

 

[Raintree]

When you see an area like that at the twig node, always check for spruce bud scale. Usually sooty mold is the big clue, not always.

 

[esean]

Blue spruce does poorly in the humid east, especially if you have poorly draining clay soil. Not sure how they do if you're in the sandy Pine Barrens. Check with your local extension service. You might consider replacing it with something more appropriate while its small.

 

[Art67]

Thank you Raintree and esean!
To fight against possible bud scale, I applied the granular systemic insecticide with Imidacloprid. I also sprayed the tree with horticultural oil. I will spray again in may-june and see if it can recover. My other blue spruces do just fine.