Tomorrow ... ASND logically-trapped to go UP!
Yep, tomorrow ASND stock price is bound to go up from what it is now.
Why? This may all sound like a play of a logic-child, but here's why:
- After today's report, ASND may come out tomorrow to clarify things a bit, to convey the real-picture to the street. Implication ==> Price will go up.
- If Mory does not say anything tomorrow, he understands that ASND price may keep drifting down and it will be harder later, to get the right message accross to the street which can stop the drift, which may have 2-day's worth of momentum behind it by then. If ASND price goes down, SRA shareholders may start showing signs of uneasyness towards the deal, and in the hopes of deal-break then, ASND price will go up. (SRA has other lovers eying for a great entry).
- So, if Mory wants to keep SRA, he has to announce something positive tomorrow or else risk it. However, both turns out as good signals for SRA's price.
- If Mory doesn't announce anything, the perception will develop that
for some reason, he would like to let the price drop a bit, which in turn might be perceived by the street as: he would like to invite LU to her doors and want to ensure a colorfull reception by the shareholders. The lower ASND price would ensure that shareholders will open-up their hearts rather readily to LU then. Because of this perception then, ASND price will start rising.
Hint:
- Since, ASND short-term shorters will start becoming uneasy looking at the low volume on a down price today (and some shrewd ones also know the correct facts and logic :-) ), they may not decide to stay overnight, and would start packing up their bags around 3:30pm today ... hence, a spike up may be expected at that time, if NASD remains flat or improves. A better RS spike towards close would virtually ensure a better price for ASND tomorrow.
[ Caveats: As usual, there are non-complying-perceptions' loopholes in the logic above, which others may hasten to point out :-) ].
cheers,
-/Sonny.
p.s. Now, if you see the ASND price up tomorrow morning, you would know the reason why ... isn't it? :-) |
