Brian, Canton-Fitzgerald is a third party analyst and brokerage house, known for executing institutional trades for clients like pensions, trusts, etc. They entered the box to make market in Franklin about mid week last week and have been heavily involved in accumulating shares the first few days in the box, paying up to 4.75. Yesterday they moved their bid up to $5.00 and have remained there since. This tells me that whomever they are executing trade for, has authorized them to move up the bid.
Many of the other MM's have followed C-F's lead and have built a wall of support there. That is why I stated a few posts back that 5.18 or 5.25 is about as low a buy as one could probably make seeing as how the MM's are reluctant to close down the bid, so .18 may be the average spread at the $5 level or possibly .25.
I expect a rally going into the 1:00pm time frame, some weakness in the 2:00 period, then we should do the 3:00 hop into the close. Finishing back at, or above 5.50. If there is no news today, it can only serve to build further anticipation for later in week, and create more awareness for this inevitable event.
Hang tough and use the tape as your allie to better position yourself.
RB |
