40% drop was painful, without question. What stands out to me is that it wasn’t more, given the astronomical volume of selling. Sure appears that some fund(s) stepped in to systematically buy and set the floor between $4.20-$4.35 where it traded a tight range all day. Agree with other posters that some retail jumped in and a lot of shorts covered, but for this to trade 250m and then 75m shares in 2 days has to mean some big players sold to other big players who got an awesome entry point. Not saying it was coordinated, have no evidence of that, but it sure does smell coordinated after last quarter Bill literally saying there would be a large shareholder rotation to longer-term hands… if this wasn’t a coordinated swap, I think we would have seen a crater larger than 40% and a bounce larger than 5% the next day. If I’m right, I think we should see price improvement in the next 3 weeks as the retail short-termers and remaining shorts exit their positions and what is left holding the big bags is whoever stepped in to set the floor.
Welcome any and all comments to this theory … just pls let’s try to keep it respectful mates
No comments:
Post a Comment