Tricky business when a stock has dropped so far over such a long period of time, then makes a run on no news. Normally, I'd have expected it to have moved up a few cents at a time on small volume. The suspcisions aroused are because of the volume. Is it insiders who have accumulated lots of stock at 12 cents doubling their money? Maybe, but when I thought about it, that didn't make sense because where are the buyers coming from? If insiders were unloaidng, it would drive the price down, not up. Is it insiders buying lots of stock in anticipation of a run up? If so, why the rush? They could have picke dup a million shares over a couple of weeks without driving the stock up. Somebody was in a hurry to take a position. Sincethere's no news, what's holding the price up? Usually when an unexplained run happens, the stock then drifts back to the price it started at. For example, check the chart of PAT. There, though, they did have news. They got a 2,000,000 dollar financing. The wierdness here is the volume with no news, not even a rumour. If nothing else, you'd expect rumours to be flying thick and fast. Nada. The stock did double, after all.
Have you calle dthe company? Not that they're likely to tell you much but somnetiems, something will come out of a conversation. |
