OK Jerry 50 is within the realm of possibility. I used to think that the down and dirty Nasdaq was more manipulated and of course the market makers did lose that big suit about some of their obvious manipulations. However now I think that the NYSE is maybe more manipulated these days, at least for these tech/internet stocks like zd, bks, etc. The volume in these kinds of stocks is pretty low which makes manipulation pretty feasible. Also we are getting close to options expiration, which is their time of month.
I do have two concerns. First I am only partially in yet, so I would like to see some more weakness for a day or two at least. We may not, as you mentioned, it seems like some of the serious buying has started (slowly). They don't want to drive the price up so they are doing this buying gradually, i.e. accumulation as it is called. I have a feeling we will not see 32 again in april. You can be sure we will not close options day over 35 so we will be trapped between 33 and 35 till then, barring any news.
My other concern is the market, especially this insane internet market. It's totally overdone it, and usually that means some kind of correction. That's why I hope BKS gets this IPO out ASAP, because may looks kind of scary. I even worry about the end of April.
Definitely I believe that zd is a good test case for what to expect from Barnes. A nice but not stellar run-up, some weakness and instability, and then the inevitable decline in price. You definitely want to get out some day or days before IPO.
BKS will be a player in this internet space long after most of the present internet fluff are long since history. However in the present climate I couldn't imagine a more useless and irrelevant fact. Don't let the long term confuse you, nobody cares about that anymore. Take the money and run... |
