If we have let's say minimum %60 CV ratio that means even bigger volume. Something over 1 million shares. With low float like this MM's gotta do something to control the price. Otherwise the price will fly to $15 which will eventually hurt their pocket.
MM's need to supply shares. There are some available shares above $2 to all the way to $50 but not much. These shares from buyers who bought expensive but couldn't sell before the big drops and reverse splits last 2 years. Some already dumped their shares. Only few kept their shares thinking one day it would go up. But those shares probably would total less than 200,000 shares based on looking at December 2005 volume. If you look at CMF indicator, there is more selling then buying before the R/S. That tell us that available shares are not many.
Those people who bought the stock above dollar and kept the stock for more than a year will eventually sell it around and above $1 levels. But I don't think it's enough to create sell pressure to stock price.
Only sell pressure will come from buyers last 2 days. New Buyers next week will easyly neutralize the sellers who bought cheaper last 2 days.
Posts: 2102 | From: Dayton, Ohio | Registered: Feb 2006
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RC whats up with CMF? looks to be heading downward? is this any concern for next week?
Posts: 1088 | From: Dallas, Texas | Registered: Feb 2006
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or matto, you know how to read charts, what do you think about CMF on dvfn chart?
Posts: 1088 | From: Dallas, Texas | Registered: Feb 2006
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CMF is negative because of some intraday sellers, profit takers, flippers, concerned ones, etc.
We'll have positive money flow on Tuesday and CMF will likely to come back. CMF is a volative indicator. As long as CV is positive CMF is not concern. Take a look at MSFT.
With negative CMF and positive CV. Price didn't go down. Contrary they had big GAP up after that negativ CMF (end of January)
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If you look at the ASK side and look at their spread adjustments. You'll see that 0.51 is their pressure point. Ask Spread is about 50% of the next. Which nicely matches to CV ratio.
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i dont think we need to create any pressure, unless this is due to not go up? i think were in a fine position
Posts: 1088 | From: Dallas, Texas | Registered: Feb 2006
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If we have enough BUY ORDERS at $0.70. MM's gonna adjust their price to a new spread. It will be higher.
Posts: 2102 | From: Dayton, Ohio | Registered: Feb 2006
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We will not execute the BUY orders. Even if it executes you will get the first ASK prices anyway. You can cancel it last minute. They have no choice to increase the spread.
Posts: 2102 | From: Dayton, Ohio | Registered: Feb 2006
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MM's always adjust the spreads before opening. And they look at the CV ratio along with other indicators.
Posts: 2102 | From: Dayton, Ohio | Registered: Feb 2006
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When MM's see Sell price at 1.40 and buy price at 0.70. They will adjust the BID size to higher value. A value that they can borrow at reasonable ratio. My guess BID could move to 0.35-0.40 range. They can create an artificial rally to move price two 0.70 then they drop it back and get their borrowed shares back.
Posts: 2102 | From: Dayton, Ohio | Registered: Feb 2006
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I think once we hit above 0.50 the 50d average will cross 200d average. That will trigger radars even more.
Posts: 2102 | From: Dayton, Ohio | Registered: Feb 2006
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I'm thinking this is a bad idea! we would be a "group play" that has "frontloaded" if we do this. We'd be no better than momo and gang.
Sorry, this type of thing is just not for me.
-------------------- "Sometimes I lie awake at night, and ask, 'Where have I gone wrong?' Then a voice says to me, 'This is going to take more than one night.'" - Charlie Brown (Charles Shultz) Posts: 719 | From: Leesburg, VA | Registered: Jul 2005
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