Dr.M, if I might show my basic sophomoric level of analysis here, wouldn't it figure that with TWO good news releases, back to back as they came, that the shorter involved would be banking on the inevitable profit taking on the GOOD NEWS. Not that the seller doesn't like the stock, but is obeying the age old dictate to SELL ON THE GOOD NEWS.
I would imagine that shorting here is less of a lack of faith in the Co. than the constant reaction of selling on the news. I know it drives me nuts and I can hardly stand it, because I was burned on 4 stupid dog stocks that I got in on spike of the rumor, every single one.
Those spikes were pretty darn good, people took them and ran fast--problem was the only rumor after that was the rumor that there were rumors the company was going to grow. In my case the rumors of rumors were smoke and mirrors, and I was left holding.
ALYA at this moment of early development is about the flip side of smoke and mirrors.
Here, if some shorter banks on the knee jerk sell after a nice rise, that seems to be pretty in line with a move in Dell, even, no?
IOW, what about this constant every stock faces, selling on the news. There will always be some doing that in even MSFT, Lucent and Dell. Period. Always.
I more than anyone need to get a grip on this phase of investing--the knee jerk up and then back down after news. We continually react in shock, but why? Is it not almost unavoidable for a few days or a few weeks? Please if you have time give me a little "news" lesson here. |
